Mozambique is in the process of legislating on the liquefaction of natural gas from the rich Rovuma basin Macauhub.com reports.
The legislation is expected to provide guidance on conception, construction, installation, ownership, financing, and operation, maintenance, use of wells, installation and associated equipment, on land or offshore.
According to the minister for mineral resources Esperanca Bias the changes that have already been approved by the constitutional issues committee are is necessary to facilitate the implementation of the project including changes, granting exemptions and creating production sharing agreements.
Mozambique says several companies exploring the basin including Anadarko and Eni East Africa have already invested $4.815 billion and are expect to eventually use more than $30 billion in the entire project.
The companies according to Bias will construct liquefaction units with a capacity for 20 million tons a year.
The legislation mainly targets Area 1 and 4 which are estimated to have between 50-75 Tcf and 75 Tcf respectively.