Johannesburg — Total SA on Friday said it signed a $14.9 billion senior debt financing deal for its Mozambique liquefied natural gas project.
The French energy company said the project, which is Mozambique’s first onshore LNG development, will include development of two offshore natural gas fields and the construction of a liquefaction plant with two production lines.
Total also said the financing, which it described as the biggest ever in Africa, includes loans from eight export credit agencies, including the Export Import Bank of the United States, the Japan Bank for International Corporation, UK Export Finance and the Export Credit Insurance Corporation of South Africa. Financing was also received from 19 commercial bank facilities and a loan from the African Development Bank, Total said.
Total E&P Mozambique Area 1 Limitada, a wholly owned subsidiary of Total SA, operates Mozambique LNG.
“The signing of this large-scale project financing, less than one year after Total assumed the role of operator of Mozambique LNG, represents a significant achievement and a major milestone for the project,” Jean-Pierre Sbraire, Total’s chief financial officer, said.
*Stephen Nakrosis – Market Screener