The government of Mozambique and US group Anadarko Petroleum signed Wednesday in Maputo a memorandum of understanding that sets out arrangements for resettlement of 5,000 residents in the Afungi Peninsula, according to Mozambican news agency AIM.
The Afungi peninsula, in the Palma district of Cabo Delgado province, has an area of 7,000 hectares where the US group plans to build an industrial park for liquefied natural gas (LNG) processing, as part of an expected investment of US$20 billion.
Under the memorandum, Anadarko Petroleum will pay US$180 million in compensation to communities to over trees and other assets as well as for the construction of social infrastructure such as homes, schools, hospitals and even access roads.
In Houston, Texas, the chairman of Anadarko Petroleum said Wednesday that the group had no interest in divesting part of its stake in Area 1 of the Rovuma Basin block.
During a meeting with analysts to review results for the second quarter, Al Walker said the group intended to remain as the operator of the block, “which would be jeopardised if we divest a portion of the share currently held.”
The share currently held by the group in that block is 26.5 percent, an the remaining partners are state Mozambican oil and gas company ENH (15 percent), Mitsui E&P Mozambique Area1 (20 percent), ONGC Videsh (16 percent), Bharat PetroResources (10 percent), PTT Exploration & Production Plc (8.5 percent) and Oil India Limited (4%). (macauhub/MZ)