Due to significant natural gas discoveries in 2013, Mozambique has become the focus of attention for numerous international oil companies. In response, the Mozambican Parliament approved Petroleum Law (Law No. 21/2014) on 14 August 2014, repealing the previous Petroleum Law.
In this briefing, we summarise the key changes made by the new Petroleum Law and discuss the potential impact on investors considering exploration, production and LNG processing activities in Mozambique.
It should also be noted that on 23 October 2014, the National Petroleum Institute of Mozambique (INP) will formally open the competitive bidding process for the Fifth Licensing Round, covering approximately 76,800 square kilometres of acreage offshore (Rovuma, Zambezi and Angoche) and onshore (Pande-Temane and Palmeira). The formal announcement will be made in London and will be held for invited companies who have successfully registered for attendance on the INP website (www.inp-mz.com). The Fifth Licensing Round will be the first licensing round governed by the new Petroleum Law and is scheduled to close on 20 January 2015.