FILE PHOTO: An Exxon gas station is seen in Houston, Texas, U.S., April 30, 2019. REUTERS/Loren Elliott/File Photo

INTERNATIONAL -  Exxon Mobil will invest more than $500 million in the initial construction phase of its liquefied natural gas (LNG) project in Mozambique, the US energy company said on Tuesday.

Construction of onshore facilities has been awarded to a consortium led by Japan’s JGC, UK firm TechnipFMC and US company Fluor Corp, Exxon head of power and gas marketing Peter Clarke told a ceremony in the capital Maputo.

The $30 billion Rovuma LNG project has a capacity of 15 million tonnes a year (mtpa) and is set pump much-needed cash into the southern African nation’s ailing economy.

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Exxon’s Rovuma LNG project, jointly operated with Italian firm Eni, will produce, liquefy and sell natural gas from three reservoirs located in the Area 4 block offshore Mozambique’s northern coast.

Exxon estimates the fields, which are due to come on line in 2024, will cost $30 billion to develop.

State television news channel TVM on Sunday said the Ministry of Mineral Resources and Energy would host a signing ceremony with Exxon and other firms in the capital Maputo on Tuesday.

US energy giant Exxon Mobil will finalise its investment in Mozambique’s lucrative liquefied natural gas fields in a signing ceremony on Tuesday, the African country’s government said via state television.

Exxon’s Rovuma LNG project, jointly operated with Italian firm Eni, will produce, liquefy and sell natural gas from three reservoirs located in the Area 4 block offshore Mozambique’s northern coast.

Exxon estimates the fields, which are due to come on line in 2024, will cost $30 billion to develop.

State television news channel TVM on Sunday said the Ministry of Mineral Resources and Energy would host a signing ceremony with Exxon and other firms in the capital Maputo on Tuesday.

Reuters