Blessed with having the world’s third largest known natural gas reserves within its territorial waters, Mozambique has attracted investment from major players in the global energy industry. Development of the country’s gas reserves is likely to require $50 billion. The latest investment initiative under consideration is the construction of gas-to-liquids (GTL) plants in the country. GTL plants use natural gas as a feedstock to produce fuel such as diesel and as such are likely to be more beneficial to the Mozambican economy than simply converting natural gas to liquefied natural gas for export.
South Africa’s Sasol, which has partnered with Mozambique’s ENH and Italy’s ENI, operates an offshore exploration block in the Rovuma basin. This block is estimated to hold up to 85 trillion cubic feet of natural gas. To put this volume into perspective: PetroSA’s GTL plant in Mossel Bay, with a capacity of 35 000 barrels a day, would only consume 1 trillion cubic feet of gas in 20 years of operations! Gas production from the Rovuma basin is expected to start in 2018. According to Sasol, a GTL plant to process this natural gas would take around 6 years to become a reality (from the feasibility stage to actual production) and require at least $1 billion investment for every 10 000 barrels a day of capacity.
No major investor will commit itself upfront to these huge investment amounts if it feared any risk to its investment from political instability. So, a belief in the long term stability of Mozambique, regardless of which political party is in power, can be concluded from this investment news.
Inward foreign investment into the natural gas sector has the following positive knock-on effects:
- Major improvements to Mozambique’s infrastructure, such as roads, harbours and airports
- There will be more direct air links between Mozambique and the source countries of this investment
- The investing companies are establishing local offices to represent their interests
- These offices are usually staffed by qualified expatriates to supervise the development of the infrastructure: they are usually well paid in US dollars and have spending power
- These expatriates will explore Mozambique as a leisure destination whilst in the country
- As these expatriates travel back and forth to their home countries or have family join them, the attractions of Mozambique as a destination becomes known to a wider global audience
- By the time the first gas field comes online in 2018, Mozambique will be a “must see destination” on the international travel scene
- As foreign revenue is generated through the export of its gas products, Mozambique’s already impressive annual Gross Domestic Product earnings will propel it to the super league of Africa’s economies – it will rival Egypt, Nigeria and South Africa as an economic powerhouse
- This increased GDP will significantly enlarge Mozambique’s middle class, who will now have increased disposable income for domestic and international holidays
- The above all bodes well for the growth of the tourism sector
How you can benefit:
- You now have an opportunity to invest in the tourism sector through the San Martinho Beach Club™
- San Martinho Beach Club™ is located in Bilene, one of Mozambique’s most popular resort towns
- Bilene is the closest resort town to Mozambique’s commercial and administrative capital, Maputo
- Maputo’s wealthy elite already own holiday homes in Bilene
- Bilene is the closest Mozambican beach resort to Gauteng Province, South Africa’s commercial epicentre with the highest income earners in the country
- The San Martinho Beach Club™ enjoys the prime beach location on Bilene’s natural lagoon
- An increasing choice of on-site facilities are available to as the resort expands
- The resort strives to provide the highest possible standards of self-catering accommodation
- All accommodation units are sturdily constructed with concrete blocks and mortar
- Private holiday home options are now available for sale at the resort
- You have a choice of Sectional Title or Timeshare Options
- Lock-up storage garages are available for private holiday home owners
- Resort furnished private holiday homes can be placed in a rental pool – earn potential income
- Exchange your private holiday home for accommodation at thousands of other resorts both within Southern Africa and worldwide.
For further details on how to benefit from investing in Mozambique, simply send us an email to firstname.lastname@example.org