Mozambique Holds Steadfast on Energy Contracts Amid Political Tensions

Mozambique's new president, Daniel Chapo, announced his administration's decision not to renegotiate energy contracts with TotalEnergies and ExxonMobil amid multibillion-dollar LNG project investments. Despite post-election protests and security concerns, Mozambique remains committed to leveraging these projects to stabilize its economy.

Mozambique's newly inaugurated President, Daniel Chapo, has confirmed that his government has no plans to renegotiate contract terms with energy giants TotalEnergies and ExxonMobil. These companies are embarking on significant LNG projects poised to transform the nation's fragile economy.

Chapo, elected amidst controversy and allegations of electoral malfeasance, emphasized that TotalEnergies' project in Cabo Delgado is currently on pause due to past insurgency threats but said contract terms will remain unchanged until gas production begins.

Security operations, bolstered by Rwandan forces and neighboring countries, remain ongoing. Despite continued opposition protests, Chapo advocates for dialogue while addressing regional issues like illegal mining affecting Mozambicans.

(With inputs from agencies.)