TOT TOTAL SE

-The French oil major declared force majeure in Mozambique due to security concerns

-All personnel was withdrawn from the Afungi project site

-The decision follows deadly attacks by Islamic State-linked insurgents

 
   By Giulia Petroni 
 

Total SE on Monday declared force majeure on its $20-billion liquefied-natural-gas project in northern Mozambique and withdrew all personnel from the Afungi site due to security concerns in the area.

The French oil-and-gas major said the decision comes in light of the situation in the north of Cabo Delgado province, where extremist rebels affiliated with Islamic State have staged a number of attacks.

Total said it hopes action by the Mozambique government and its regional and international partners will help restore security and stability in the province.

Force majeure relieves a company from performing its contractual obligations due to an event beyond its control.

At the end of March, Total had already reduced its workforce at the site to a strict minimum and suspended the project following deadly attacks by insurgents on a nearby town.

Total's subsidiary Total E&P Mozambique Area 1 Limitada operates the LNG site with a 26.5% participating interest.

Write to Giulia Petroni at giulia.petroni@wsj.com

(END) Dow Jones Newswires

April 26, 2021 06:04 ET (10:04 GMT)

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