Second FLNG-based gas production project for the Italian oil major in Mozambique is set to be completed in 2028
The African Development Bank has approved a US$150M loan to Italian oil major Eni to help fund the development of the Coral North floating liquefied natural gas project located offshore Mozambique.
The Coral North FLNG project will develop, construct, and operate a floating LNG facility with an annual capacity of approximately 3.6M tonnes (mta) approximately 55 km off the coast of northern Mozambique’s Cabo Delgado province.
A second floating FLNG facility, Coral South FLNG, became operational offshore Mozambique in 2022.
The Coral North FLNG project is led by Eni and is expected to cost more than US$7Bn. In addition to the African Development Bank Group, financing will be provided by other development finance institutions, export credit agencies and commercial lenders. Coral North is estimated to generate more than US$20Bn in fiscal revenues over its lifetime.
Eni and its partners reached a final investment decision (FID) to develop the Coral North FLNG project, deepwater offshore Cabo Delgado, north of Mozambique, in early October 2025.
The project will be implemented by the joint venture formed by Eni (50%), CNPC (20%), Kogas (10%), ENH (10%) and ADNOC’s subsidiary XRG (10%), and will bring into production the gas volumes from the northern part of Area 4’s Coral gas reservoir, in the Rovuma basin, through a floating LNG facility.
“Leveraging the experience gained with Coral South, which has been in production since 2022, Coral North will offer competitive advantages in terms of schedule, costs, performance optimisation, and minimisation of execution risks, aiming to deliver the project within schedule in 2028,” Eni said.
With a production liquefaction capacity of 3.6 mta, the newly built Coral North FLNG, coupled with its predecessor Coral South, will bring Mozambique’s overall LNG production to exceeding 7.0 mta, making the country the third-largest LNG producer in Africa.
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