Italian companies are significantly intensifying their investment activities across Africa, with Mozambique emerging as a key priority under Italy’s strategic Mattei Plan. This renewed focus is primarily directed towards the nation’s burgeoning offshore gas sector and the critical imperative of fostering local content development. This assessment comes from Simone Santi, President of the Mozambique–Italy Chamber of Commerce (CCMI), who also serves as the recently elected coordinator of Italian Chambers of Commerce in Africa and the Middle East.
Santi highlighted a palpable increase in interest from Italian enterprises towards the Mozambican market, underscoring that this enthusiasm extends beyond the established presence of Eni. He articulated that Mozambique’s inherent potential to attract novel investments is a significant draw, stating, “Mozambique is among the first countries being considered, not only because of Eni and its investments, but also due to its technology and its propensity to invest in local content.”
The CCMI president also lauded SAIPEM, the prominent Italian engineering and construction firm for the energy industry and a vice-president of the institution. He specifically referenced the unconditional approval of SAIPEM’s merger with Subsea7 by Brazil’s competition authority, CADE. “We are now awaiting the opinion in Mozambique from the Competition Regulatory Authority (ARC),” Santi noted. “We are confident that this merger can only benefit competition, allowing, for the first time, the entry of two new players into the offshore construction market, which is currently in a near-monopoly situation.” He views this consolidation as a strategic move that combines complementary services and bolsters local content initiatives, aligning with existing agreements between SAIPEM and the National Hydrocarbons Company (ENH) aimed at promoting domestic firms.
Demonstrating the practical application of local content principles, Santi pointed to Nuovo Pignone, a Baker Hughes company. For the Coral Norte project, Nuovo Pignone awarded the construction of essential technologies to a consortium predominantly comprising Mozambican enterprises. This initiative received the endorsement of Eni, which Santi described as “very active and highly appreciated for holding open days with local companies.” Furthermore, a roster of Italian companies, including Bonatti, Renco, Gruppo Leonardo, Donelli, Faresin, and Matemo, have already forged local partnerships within Mozambique’s oil and gas value chain.
However, Santi cautioned that certain companies supporting the Coral Norte floating liquefied natural gas (FLNG) unit are encountering operational challenges. These difficulties stem from divergent interpretations by Mozambican authorities concerning the tax and customs exemptions initially agreed upon for these projects.
Addressing the broader investment climate, Santi reiterated a crucial point made during the Global Gateway Conference: the imperative for legal certainty. He stressed that laws and their interpretations must not possess retroactive effect, identifying this as a fundamental principle for sustaining and attracting foreign investment. “We hope these issues will be resolved soon,” he expressed. Santi concluded by affirming Mozambique’s continued attractiveness to investors, citing its promising reform agenda. He emphasised the ongoing need for collaborative efforts with industry associations to enhance investor perception and amplify the value proposition for companies committed to local partnerships.
... Italian Investment Surge in Mozambique: Mattei Plan Fuels Offshore Gas Ambitions Amidst Local Content Push and Regulatory Scrutiny ... Naijaonpoint.