Mozambique: Oilmoz to invest US$8 billion in refinery in Maputo

7 April 2008

Maputo, Mozambique, 7 April – Mozambican oil company Oilmoz Limitada over the next two years plans to build an oil refinery in Mozambique at a total investment of US$8 billion, a company official said Friday in Maputo.

Fausto Cruz, one of the founders of Oilmoz, said that the company already had a banking consortium to provide the financing for the project, but declined to give details of the banks involved.

Cruz also said that the refinery would have production of 350,000 barrels per day and would be in operation within six to seven years.

Cruz also said that Mozambican state oil company Petromoc would own a stake in the future refinery.

The refinery is expected to be built in the district of Matutuine, in Maputo province.

Oilmoz will now carry out an environmental impact study for the refinery, which is expected to be concluded within 18 months.

Mozambique’s Energy minister, Salvador Namburete confirmed Friday in Maputo that a group of investors confirmed Friday that a group of investors had presented a project to the Government for construction of an oil refinery, but said that the project “has to be approved by the council of ministers.”

In March of the year construction began on a refinery in Nacala-a-Velha, in Mozambique’s Nampula province, representing total investment of US$5 billion by Ayr Petro-Nacala Logistica in which Texas Ayr Logistics owns a 70 percent stake.

The refinery is scheduled to be concluded in 2010. (macauhub)