Mozambique president meets with Eni executives to review progress

The President of Mozambique, Armando Emilio Guebuza on Wednesday met with Eni’s Chief Executive Officer, Claudio Descalzi, to review progress on the development of ongoing projects in the country.

During the meeting, the CEO of Eni updated the President and his delegation, with the progress of ongoing projects in Mozambique for the development of the Area 4, where so far has been discovered resources of approximately 85 Trillion cubic feet of gas in place.

The meeting comes at a time when reports are that the firm has planned on selling minority stakes of 10-15 percent in its Mozambique gas field to sustain its programmes expected to cost $7.4 billion till 2017.

According to Reuters the company has hit a hitch in acquiring partners for its LNG export project in Mozambique as even as buyers seek cheaper prices as oil prices plummet.

‘Given the downward oil and LNG price trends and slowing demand growth, this is not the best time to blow your brains out on Mozambique,’ Reuters quotes an unnamed source.

The meeting which was held in Rome was also attended by a delegation of the Government of Mozambique, among others, formed by the Minister of Foreign Affairs and Cooperation, Oldemiro Baloi, the Agriculture Minister, José Pacheco, the Minister of Mineral Resources, Esperança Bias, and the Presidency Minister for Social Affairs, Feliciano Gundana.

Eni has been present in Mozambique since 2006, when following an international tender, it was assigned the Area 4, offshore block located in the Rovuma basin, in the north of the Country.