Saipem, an Italian company, expects the Mozambique LNG Project to restart by summer's end.
The CEO of Italy's Saipem said that the company is confident a $20 billion liquefied gas project for TotalEnergies in Mozambique will be restarted by the end the summer.
The Mozambique LNG Project, which has been covered by force majeure due to insurgent attacks since 2021, includes the development of the Golfinho and Atum gas fields within the Offshore Area 1, as well as the construction of a two-train LNG plant.
Saipem's contract is valued at around 3 billion Euros ($3.5 billion).
Alessandro Puliti, Saipem’s Alessandro Puliti, said at a press conference after the second-quarter results that "the restart is made up of a series of activities which will take place in this summer... lifting force majeure" is one of those steps.
Patrick Pouyanne, CEO of TotalEnergies, said in a statement last month that the project would resume development "this Summer".
Puliti has played down media reports that workers would only be able to access the site by sea for security reasons.
Puliti stated that the majority of equipment for the LNG plant was transported by sea to the construction site for logistics and not security.
Saipem, a Milan-based company, and Subsea7 of Norway confirmed their merger earlier that day. The combined entity will be a global leader in offshore energy services.
The companies stated that the merger terms are in line with those set out in the February memorandum.
Puliti, who confirmed the completion of the combination in the second half 2026, added that it would take 12 months to get approval from the relevant authorities.
The UK's Competition regulator announced on Thursday that it is examining whether the merger will affect competition in the oil services sector.
Saipem announced on Wednesday that its core earnings for the second quarter rose by 39% from last year to 413 millions euros.
The group's new contracts dropped from 5.085 to 2.2 billion euro in comparison to the same period last year. However, the group has confirmed that it expects to receive orders worth 12 billion euros for the entire year.
(source: Reuters)
