Developers of the Rovuma LNG gas export project in Mozambique, estimated at an investment of $32 billion, have chosen a joint venture EPC contractor that includes US-based McDermott International with Italy’s Saipem, South Korea’s Daewoo Engineering & Construction and government-owned China Petroleum Engineering & Construction Corp.
The project, expected to produce 18.6 million metric tons of gas annually, is managed by ExxonMobil with partners Empresa Nacional de Hidrocarbonetos de Mozambique, China National Petroleum Corp., Italy-based Eni, Korea Gas Corp. and Abu Dhabi National Oil Co. To be built in Cabo Delgado, work was halted in 2021 due to attacks by African insurgents. Force majeure was not lifted until last November.
ExxonMobil said in August that it awarded a total of $1.1 billion in initial contracts for “long-lead critical upstream equipment,” with $32 million in initial joint venture work approved through a letter of intent. The contractors will build the natural gas liquefaction plant on the Afungi Peninsula, with two LNG trains and 12 liquefaction units. According to ExxonMobil and media reports, the total amount of the EPC contract is undetermined, pending a final investment decision on the project, which could be completed by the end of this year or early 2027. Operation is expected in 2031. Rovuma LNG will feature a modular, prefabricated design with overseas component manufacturing, the owner said.
“Having successfully executed the [front-end engineering and design analysis] for Rovuma LNG, we are well-positioned to advance the project to its next phase,” said Rob Shaul, McDermott’s head of low-carbon solutions. He said the company will execute engineering and project management from staff based in the UK, India and Italy.
Other early contracts include one valued at $250 million to Greece-based Corinth Pipeworks to supply 250 kilometers of submerged arc-welded pipes. The OneSubsea units will manufacture and manufacture other subsea components, with suppliers also including Advanced Technology Valve, Sumitomo Corp. of America and Zhejiang Jiuli Hi-Tech Metals. Rovuma LNG is expected to add about $11 billion a year to Mozambique’s gross domestic product, McDermott said, citing a global economic study.
The contractor is also part of the EPC team for Mozambique LNG, an estimated $20 billion export project that also resumed last year in Cabo Delgado to be developed by France-based TotalEnergies and partners. It is expected to produce 13 million metric tons per year when it begins operations in mid-2029, with its gas coming from a different location than Rovuma LNG.
McDermott’s joint venture partners for the onshore work of this project are Saipem and Chiyoda Corp.
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Energy developers also selected an EPC team led by France’s Technip Energies to build a $7.2 billion floating LNG project in the region.
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GW of global gas turbine orders were recorded in the second quarter, up 29% from the previous quarter and up 71% from the same period in 2025, with US orders accounting for 50%. Siemens Energy leads Q2 global turbine orders at 12.5 GW, with 20% from data centers.
Sources: JP MorganChase, Siemens Energy
Bechtel receives $4.7 million award for Cheniere Louisiana LNG expansion
Cheniere Energy Partners awarded Bechtel a $4.69 million turnkey EPC contract for the first phase expansion of its Sabine Pass LNG export terminal in Cameron Parish, Louisiana, to add Train 7 producing 6 million metric tons per year and support facilities.
Bechtel also has limited notice to proceed with early engineering and procurement. Sabine Pass could add two more trains in later phases to produce up to 20 million metric tons annually at peak, Cheniere says in a federal filing. The final investment decision for the first phase could be in early 2027, pending funding and approvals from the US agency, the company said.
