Mozambique 2 Feb 2017: Back to Paris

Good afternoon. This Friday’s newsletter is a day early this week, as we observe Mozambique’s Heroes’ Day tomorrow, 3 February.

Mozambique’s debt crisis remains in the headlines, in particular Zitamar’s revelation on Tuesday afternoon that the country has made an approach to the Paris Club of creditor nations.

SEE: Mozambique opens new debt restructure front with Paris Club approach

Getting agreement from bilateral creditors to share some of the burden of a restructure could be another vital step along the way to getting the public finances back on an even keel. Another, of course, is the completion of the Kroll audit - which, some say, could receive a boost thanks to Nyusi’s changes at the top of the Secret Services.

SEE: Kroll audit into Mozambique secret loans still due this month

Moza Banco’s shareholders decided last month to put in the 8 billion meticais needed to recapitalise the bank - all they have to do now is find the money. Moçambique Capitais, the investment company that is the bank’s largest shareholder, is facing a tight deadline to come up with the cash if it wants to keep control.

SEE: Moza Banco owner seeks shareholder cash injection to keep control of bank

Mozambique prioritised GTL, fertiliser, power - but not pipelines - in its first domestic gas tender. Nevertheless the promoters of the Gasnosu pipeline still believe their project has an important role to play.

SEE: Gasnosu pipeline still ‘key for Mozambique’ despite domestic gas tender setback

For the Rovuma Basin gas to come ashore at all, issues still have to be ironed out with the community which lives on the land that Anadarko and Eni want to use for their LNG park. The long-running resettlement saga is still not over, Zitamar revealed today - despite reports to the contrary.

SEE: Mozambique LNG resettlement approval still ongoing, says minister

The Massingir sugarcane project in Gaza province may not have needed to resettle any  people - but nevertheless foundered due to other onerous investment requirements that could mean the project will never be viable.

SEE: Prospects look bleak for Mozambique sugar ‘mega-project’ after second investor quits

Have a great long weekend.

RECENT POSTS

• Kroll audit into Mozambique secret loans still due this month

• Mozambique LNG resettlement approval still ongoing, says minister

• Gasnosu pipeline still ‘key for Mozambique’ despite domestic gas tender setback

• Prospects look bleak for Mozambique sugar ‘mega-project’ after second investor quits

• Moza Banco owner seeks shareholder cash injection to keep control of bank