Mozambique has put on hold missions to increase funds for its portion of Anadarko Petroleum’s $20 billion gas venture, as the federal government tried to limit its debt sales following a failure about three years ago.
Empresa Nacional de Hidrocarbonetos, the national oil firm, will revive efforts to raise $2.3 billion for the liquefied natural gas undertaking probably later in the year after Anadarko begins implementing it, said ENH Chief Executive Officer Omar Mitha. That may assist in scaling back risk and lead to better phrases, he said.
“We’ll go back to the market to look for funding” when situations become more engaging, Mitha said Wednesday in an interview in Maputo. ENH picked Lion’s Head Global Partners LLP to advise on the financing.
Anadarko sees the Mozambican project among the many largest global LNG suppliers and serving to rework the economy of one of the world’s weakest nations. The venture could additionally assist the government in recuperating from a debt scandal that pressured it to restructure bonds.
Each companion, including ENH, is pursuing its path to funding its equity-share of the venture, Anadarko stated in an emailed reply to questions. “That is independent and has no effect on the debt that the venture is elevating,” it said.
The federal government has approved a guarantee for ENH to raise funds and now waits for new endorsements from lawmakers and the attorney-general, based on finance ministry spokesperson, Rogerio Nkomo. Approvals related to sovereign debt became rigorouas in Mozambique after the International Monetary Fund in 2016 found that the government didn’t announce $1.2 billion of loans.