MOZAMBIQUE is cementing its position as a critical player in Africa’s energy sector, leveraging its vast natural gas reserves to drive economic growth and energy security. According to NJ Ayuk, Executive Chairman of the African Energy Chamber, the country is leading the charge in expanding electricity access, clean cooking solutions, and industrial development across the continent.
Speaking at the recent Invest in African Energy: Mozambique Roundtable, Ayuk highlighted Mozambique’s untapped gas potential and its role in shaping Africa’s energy future. He urged the government, international oil companies (IOCs), and investors to maximise production to boost agriculture, energy security, and socio-economic development.
Major LNG investments fuel growth
Mozambique has attracted some of the world’s largest liquefied natural gas (LNG) investments, solidifying its role as a regional energy hub. Among the most significant projects is ExxonMobil’s $25bn Rovuma LNG initiative, which is expected to accelerate gas production and exports.
Eni’s Coral Sul expansion, which includes the Coral North project, and TotalEnergies’ multi-billion-dollar Mozambique LNG project, are also key drivers of Mozambique’s energy expansion and global market integration. Ayuk emphasised that these developments, coupled with gas-to-power and petrochemical projects, demonstrate Mozambique’s ability to attract new investments and enhance its domestic energy supply.
Gas as a reliable energy solution
While renewable energy plays a growing role in Africa’s energy mix, Ayuk noted that gas remains a more reliable baseload power source due to the intermittency of solar and wind energy. He highlighted Mozambique’s ability to produce urea and ammonia from its gas reserves, which strengthens food security and reduces reliance on imports from markets like Ukraine.
Beyond economic benefits, Ayuk stressed the importance of inclusive energy policies, calling for greater participation of local communities, women, and youth in the sector. He praised Mozambique’s gas-to-power strategy, which prioritises domestic consumption and integrates small and medium-sized enterprises (SMEs) into the energy value chain.
Regulatory reforms and regional cooperation
For Mozambique to fully unlock its energy potential, Ayuk encouraged the government to streamline regulations, eliminate bureaucratic hurdles, and introduce new licensing rounds to attract more investors. He also underscored the need for stronger collaboration between Mozambican and other African stakeholders to position Africa as a globally competitive investment destination.
With major energy projects underway, Mozambique is poised to become a leading force in Africa’s gas sector, shaping the continent’s energy security, economic transformation, and industrial growth in the years ahead.
