ExxonMobil, on behalf of the Area 4 partners, says that it has awarded approximately $1.1 billion in pre-investment (pre-FID) contracts for critical long-lead upstream equipment supporting Rovuma LNG Phase 1 in Cabo Delgado and offshore Mozambique.
These contracts specifically target the offshore/upstream portion of the project. They cover engineering, procurement, fabrication/manufacturing of:
- Subsea production systems (including controls and umbilicals)
- Large-bore production valves
- Offshore line pipe (various types).
This step is intended to secure equipment with long lead times, optimize project execution timelines once FID is taken, and advance the development of Area 4’s offshore gas reserves that will feed the onshore LNG plant.
Key contract awards
- Largest award: OneSubsea UK Limited and OneSubsea AS (SLB-led), with in-country support from Aker Solutions Mozambique, Limitada — for engineering, procurement, fabrication, and manufacturing of subsea production systems, associated controls, and umbilicals.
- Advanced Technology Valve S.p.A.: Engineering, procurement, fabrication, testing, and delivery of large-bore production valves.
- Corinth Pipeworks Pipe Industry Single Member S.A.: Manufacture, coating, testing, preservation, and storage of submerged arc welded (SAW) line pipe.
- Sumitomo Corporation of America: Manufacture, coating, testing, preservation, and storage of seamless (SMLS) line pipe.
- Zhejiang Jiuli Hi-Tech Metals Co., Ltd.: Manufacture and supply of mechanically lined pipe (MLP), induction bends, weld overlay products, and associated line pipe systems.
The Area 4 partners are Mozambique’s ENH, China’s CNPC, Italy’s Eni, Korea Gas Corp (KOGAS), and Abu Dhabi’s XRG (ADNOC’s investment arm). ExxonMobil is the operator for this onshore-focused Rovuma LNG development.
Broader project context
Rovuma LNG Phase 1 is designed to develop major offshore natural gas resources in Area 4 of the Rovuma Basin and supply an onshore liquefaction facility on the Afungi Peninsula with a planned capacity of around 18.6 million tonnes per annum (mtpa) of LNG (typically described as 12 modular trains). Start-up is targeted for around 2031, contingent on FID (widely expected in 2026) and other approvals. The overall project is a multi-billion-dollar development (estimates in recent coverage range from roughly $20–30+ billion) and is viewed as one of the largest private investments in Mozambique.
ExxonMobil had previously lifted force majeure on the project (reported as November, after a pause linked to 2021 security issues in Cabo Delgado). Separately, in early August 2026, the partners issued a letter of intent to the SMDC joint venture (Saipem, McDermott, Daewoo Engineering & Construction, and China Petroleum Engineering & Construction Corporation) for limited engineering and procurement services related to the midstream/onshore facilities, positioning that consortium for the eventual EPC work.
These upstream contract awards are a clear signal of progress toward FID and commitment to the offshore gas development that underpins the entire project, even though they do not themselves constitute the FID. Security in the region remains a noted consideration in coverage, described in some analyses as still acute but manageable.
