The French oil group has suspended certain contracts with companies linked to its mega project for gas in Mozambique. This project has stood still since the attack launched in late March by jihadist groups against the city of Palma in the province of Cabo Delgado, about ten kilometers from the Total Group’s facilities. The Frenchman has since evacuated his staff.
Felipe Nyusi does not intend to see the largest industrial project in Mozambique’s history end. In an address to deputies, the president asked foreign companies involved in the gas consortium to think carefully about the decisions they made and assure them that security would be guaranteed in the province of Cabo Delgado. A speech coming as the Mozambican employers have revealed it Totally French has terminated a number of contracts with subcontractors: including an Italian company responsible for building a village to relocate populations displaced by the gas project, and a Portuguese company for building a new airport in the region.
According to the Confederation of Economic Associations in Mozambique, the jihadist attacks in the gas province had a negative impact on 410 companies and 56,000 employees. Since the Palma attack, local SMEs have lost $ 90 million. The union is currently evaluating agreements that have been closed by foreign companies and has specifically asked Total to pay its invoices. The question from RFI did not answer the French group’s wishes. He had said that his project would be resumed when security was ensured.
► Read also:Why Total intends to stay in Mozambique
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