(Bloomberg) -- Mozambique's government said Exxon Mobil Corp. will sign off on an initial investment decision for a liquefied natural gas project that could cost as much as $33 billion to build -- the biggest ever in Africa.
A ceremony marking the decision will take place Oct. 8 in Maputo, the capital of the southeast African nation, the Ministry of Mineral Resources and Energy said in a statement Saturday.
Exxon's project in the northern Cabo Delgado province will cost between $27 billion and $33 billion, according to a report that Johannesburg-based Standard Bank Group Ltd. published in March. The 15.2-million ton per year gas liquefaction and export project is even bigger than the one that Total is building nearby, and both will transform Mozambique's $15 billion economy.
“We look forward to progressing the Rovuma LNG project and working with the government to maximize the long-term benefits that this project will bring,” a spokesman for Exxon said in an emailed response to questions.
The investment decision could boost President Filipe Nyusi's chances in general elections scheduled a week later. A promise to develop the country's natural gas industry has formed a big part of Nyusi's campaign.
To contact the reporters on this story: Matthew Hill in Maputo at mhill58@bloomberg.net;Borges Nhamire in Maputo at bnhamire@bloomberg.net
To contact the editors responsible for this story: Gordon Bell at gbell16@bloomberg.net, Paul Richardson, Andre Janse van Vuuren
©2019 Bloomberg L.P.
Essential Business Intelligence, Sharp Market Insights, Practical Personal Finance Advice, Daily Fuel, Gold and Silver Prices and Latest Stories — On NDTV Profit.
