ExxonMobil Raises Stake in Rovuma Project to 50%, With Planned Capacity of 18.6 Million Tonnes a Year
Key Facts
ExxonMobil has agreed to raise its working interest in the Rovuma LNG project in Mozambique to 50% and confirmed that it is already the operator, according to a filing with the U.S. Securities and Exchange Commission on October 30, 2026. The project aims to build an onshore facility in Afungi with planned capacity of 18.6 million tonnes of liquefied natural gas a year, according to the company’s project page. The agreement gives the company a larger role in developing one of the LNG projects it is pursuing in Mozambique. But a final investment decision remains the key step before the project moves into full development. ExxonMobil said in August that the concession-area partners were targeting a decision in 2026.
The agreement comes as major preparatory work has begun under early contracts. ExxonMobil said the concession-area partners awarded about $1.1 billion in early works and long-lead equipment contracts on August 17. The contracts cover subsea production systems, large-diameter production valves and offshore pipelines, according to the company. These components are part of the preparations for developing the fields and the onshore facility, and precede the final investment decision. Also in August, the company said the partners had issued a limited notice to proceed to a joint venture to provide engineering and procurement services in support of Phase 1. These steps point to progress in preparations, while the investment decision remains the project’s next defined milestone.
Phase 1 work is divided between site preparations and the offshore systems needed to transport gas from the fields. On September 29, SLB announced that its OneSubsea joint venture had won a contract to supply subsea production systems. The contract covers well trees, manifolds, umbilicals and control systems, according to the company. This follows the contracts ExxonMobil announced in August, which also included offshore systems, pipelines and valves. These contracts offer an indication of the work being prepared ahead of the final decision. They also link offshore field development to the infrastructure needed to process and liquefy gas at the planned onshore facility.
ExxonMobil says the project also aims to meet part of Mozambique’s domestic gas needs. The company says it seeks to supply the local market with up to 500 million standard cubic feet a day. The company also expects Phase 1 to generate more than $140 billion in government revenue over its lifetime. In an estimate published in August, the company put expected government revenue from the project at about $150 billion over an operating life of 30 years. Both estimates link the expected financial return to a long operating horizon, though they differ in scope, with one covering Phase 1 and the other describing the project. These figures remain company projections tied to the project’s development and operation.
Production start dates remain contingent on project progress after the investment decision. ExxonMobil said in August that startup was expected in 2031, alongside its target for a final investment decision in 2026. This timeline places the project within a broader expansion of gas production in Mozambique. The International Monetary Fund expects the Coral North project to begin production in 2030, while it projected Coral Mamba would begin production in 2031. The fund also said 90% of net revenues from the Coral and Rovuma projects are earmarked to service debt owed by state-owned hydrocarbons company ENH. This means the timing of production and the projects’ financial returns are also linked to government debt obligations.
The announcement came on the day ExxonMobil published its third-quarter results, which showed adjusted earnings of $4.23 a share, compared with $3.52 in the second quarter. The company’s shares closed at $184.54 on October 26, then at $179.91 on October 27 and $182.02 on October 28. The close rose to $183.29 on October 29, then to $187.25 on October 30, according to EL7 data. These prices provide context for the stock’s movement during the days around the announcement, while the filing did not include comparative data for the company’s competitors. The final investment decision targeted for 2026 remains the project’s next major milestone, followed by the expected startup phase in 2031, according to the company’s timeline.