McDermott Wins Contract for $30 Billion Rovuma LNG Project

McDermott Energy Solutions (UK), a subsidiary of McDermott, has secured a letter of intent from ExxonMobil Moçambique to provide limited engineering and procurement services for the Rovuma LNG Phase 1 midstream development.

The project is part of the Area 4 block in Mozambique's Rovuma Basin, which contains approximately 85 trillion cubic feet of natural gas resources. The estimated cost for the project is around $30 billion.

McDermott will execute the engineering from its London and Gurgaon offices, with project management seconded to the JV team based in Milan. The company's work on Rovuma LNG builds on its established LNG expertise in Mozambique and positions it to deliver critical infrastructure for the country's emergence as a major global LNG supplier.

Rovuma LNG is expected to produce 18.6 million tonnes of LNG per year, with start-up anticipated in 2031. The project could add around $11 billion annually to Mozambique's GDP and employ more than 150,000 people over its 30-year life, according to a macroeconomic study released by Standard Bank.

Michael McKelvy, Chief Executive Officer and Chair of the Board for McDermott, commented: 'Our work on Rovuma LNG builds on McDermott's established LNG expertise in Mozambique and our disciplined approach to execution.'