Eni approves $7.2 billion Coral Norte LNG project offshore Mozambique

Tavares Cebola, Paul Burkhardt and Matthew Hill October 02, 2025

(Bloomberg) – Eni SpA gave financial approval to build a $7.2 billion floating liquefied natural gas project in Mozambique that will double the nation’s production of the fuel, adding to global supply just as a wave of new production hits later this decade.

The Coral Norte project off Mozambique’s northern coastline will be able to produce 3.6 million tons of LNG a year and will use the same design as Coral Sul, which started exporting the fuel in 2022.

“This is a commitment” that will make Mozambique the continent’s third-largest LNG producer after Nigeria and Angola, Eni Chief Executive Officer Claudio Descalzi said at a ceremony in Maputo, the capital. Production is expected to start in 2028.

The approval marks a turning point in the southern African nation’s LNG developments to export its significant gas discoveries, which had been set back by militancy over the past few years. Momentum has returned in recent months with both TotalEnergies SE and Eni readying contractors and signing agreements for preliminary work to develop the deposits that can transform the economy of one of the world’s poorest nations.

“The project is expected to boost Mozambican economy as well as the competitiveness of the local industries,” Eni said in a statement. It will create “more new jobs and opportunities for national enterprises.”

Mozambique President Daniel Chapo was also present at the ceremony and signed the agreement.

“At a time when Mozambique faces pressures on its balance of payments, the need to create jobs for the youth and women, and the diversification of the economy, we hope this project is not just numbers,” said Chapo. “It should change the lives of Mozambicans.”

Coral Norte will be located in the nation’s Area 4 concession. The project will be implemented by a joint venture formed by Eni, China National Petroleum Corp., Abu Dhabi National Oil Co unit XRG, Korea Gas Corp. and Mozambique state producer Empresa Nacional de Hidrocarbonetos E.P.

Eni’s floating platforms in Coral Sul have been less impacted by insurgency as they’re dozens of miles offshore and out of reach from the militants.

Onshore projects by TotalEnergies and Exxon were held up by an Islamic State-linked insurgency after intensifying attacks prompted a freeze in plans more than four years ago.

Mozambique’s military — with help from regional forces — has pushed back militants since 2021, but violence has surged in recent weeks. Attacks are on track to reach a record this year, the UN Office for the Coordination of Humanitarian Affairs said in a report Sept. 29.

The country expects to earn about $23 billion from Coral Norte over 25 years, the government said earlier this year. It badly needs revenue after delays to onshore LNG export projects it had banked on to help repay a $900 million eurobond that starts amortizing in 2028.