Gas projects are not exposed to Mozambican public debt

The recent increase of the amount of declared national debt will not jeopardize state involvement in the natural gas projects in the Rovuma basin, National Hydrocarbons Company (ENH) chairman Omar Mithá says.The National Hydrocarbons Company is still awaiting the response of banks to its request for loans to ensure the participation of the state in Rovuma projects.“These projects are being organized in what we call project finance. You look at the project from an economic viability point of view, consider if it has a market or not, if it is efficient in terms of costs. The financial model is what counts. Although there is a certain connection, from the point of view of the credit risk rating, we must take note that this is a funding model organized in a way that it isolates the project from its partners’ assets,” Mithá said.