Japan and Mozambique have confirmed their cooperation in the country’s Liquefied Natural Gas (LNG) project, one of the largest in Africa. The agreement was confirmed after a meeting between Mozambican President Filipe Nyusi and Japanese Prime Minister Fumio Kishida on Thursday in Maputo, the African country’s capital.
Japan has been a key partner in Mozambique’s gas sector since 2013, and the latest move demonstrates their continuous commitment to the industry’s development.
Construction work on the project, which includes Japanese trading giant Mitsui & Co., has been delayed primarily due to a deterioration in the local security situation.
“Our country will implement assistance to help restore stability of the local area,” Kishida told a joint news conference with Nyusi.
The two leaders agreed to stimulate the private sector so that Japanese companies will invest more in Mozambique.
The LNG project collaboration between Japan and Mozambique is expected to boost the two countries’ economic ties. The project has the potential to considerably increase Mozambique’s economy, as it is thought to hold the world’s fourth-largest natural gas reserves. Japan’s expertise in the LNG sector, as well as technology transfer, can assist Mozambique in developing and managing its gas resources successfully.
The LNG project collaboration between Japan and Mozambique is intended to benefit both countries. Observers believe the project will support Mozambique’s economic growth, offer job opportunities, and enhance money through exports. They also point out that it can help the country diversify its economy away from traditional areas like agriculture and mining.
Japan is also expected to profit from access to a stable and reliable source of natural gas, which is critical for its energy security.