Thailand in Talk with Mozambique to Ensure Security for PTTEP’s $1 Billion LNG Project

Rasm Chalichan, Assistant to the Minister of Foreign Affairs, led Thai delegates to visit Mozambique from August 26–30, 2025, with the objectives of enhancing bilateral relations and discussing various cooperation issues.

During the visit, discussions were held with Ms. Maria Manuela dos Santos Lucas, Deputy Minister of Foreign Affairs and Cooperation of Mozambique, as well as key agencies in economy, agriculture, fisheries, and the environment.

A primary focus of this visit was to emphasize Thailand’s request for guarantees of safety for PTT Exploration and Production Public Company Limited (SET: PTTEP)’s investment in the Mozambique LNG project.

The project has faced delays due to unrest in Cabo Delgado, which led to the temporary closure of PTTEP’s office in the area. The Thai side proposed deploying Rwandan forces to secure PTTEP personnel and equipment, reflecting ongoing concerns after repeated security incidents.

This mission also marks a milestone in bilateral relations, being the inaugural Thai–Mozambique Political Consultations since the signing of the Memorandum of Understanding (MOU) and the visit by former Prime Minister Yingluck Shinawatra in 2013. The consultation framework is designed to review progress and drive collaboration across diverse sectors.

PTTEP’s Mozambique Area 1 project, valued at approximately $1 billion (about THB 32 billion), involves an 8.5% joint venture stake alongside other international partners. The project is focused on LPG production, leveraging Mozambique’s globally significant natural gas reserves—with its favorable coastal geography supporting exports to Asian and European markets.

Outside of energy, Thailand is also actively promoting exports of agricultural machinery to Mozambique, where around 90% of the population is employed in agriculture. The Thai side has worked to encourage private sector involvement including PTTEP, Italian-Thai Development PCL (SET: ITD), and agro-industry groups from the Federation of Thai Industries participated in trade and industry fairs in Maputo.

Mozambique covers 799,380 square kilometers with a population of 34.8 million and has Maputo as its capital.

Rich in natural resources such as coal, natural gas, gemstones, and abundant fisheries, the country also faces acute economic challenges and security threats from Islamic State-Mozambique and Ansar al-Sunna insurgents, particularly in Cabo Delgado Province since 2017.

These issues have disrupted energy sector investment, prompting support from regional organizations like the Southern Development Community (SADC) and Rwandan security forces.