Eni has commenced drilling operations at the Coral North prospect offshore Mozambique, targeting an expansion of the country's LNG production capacity by 2028. The move signals a push to build on the existing Coral South FLNG project, which has been operational and represents the first LNG production from Mozambique's deep offshore gas resources in the Rovuma Basin.
Coral North is positioned as a follow-on development to Coral South, with Eni seeking to unlock additional gas volumes from the Area 4 block. The drilling campaign marks a concrete step toward sanctioning a second FLNG unit or alternative export infrastructure, though no final investment decision has been reported in connection with this announcement. The 2028 target for expanded production capacity implies that project development, contracting, and construction phases would need to advance on an accelerated schedule relative to the timeline seen with Coral South.
Mozambique holds some of the largest natural gas discoveries made globally in the past two decades, with the Rovuma Basin estimated to contain substantial recoverable reserves. Eni's Area 4 block is one of two major concessions in the basin, the other being TotalEnergies-operated Area 1, where the Mozambique LNG onshore project remains suspended following a force majeure declaration in 2021 due to a security situation in Cabo Delgado province. Eni's offshore floating LNG approach on Coral South has proceeded independently of the onshore security constraints, giving the Coral North campaign a relatively more stable operating context.
The commencement of drilling at Coral North reflects broader industry interest in growing Mozambique's role as an LNG supplier to European and Asian markets, particularly following the energy supply disruptions of 2022 that accelerated European demand for alternative gas sources. Eni, which operates Area 4 in partnership with other stakeholders including Mozambique's national oil company ENH, has consistently framed Coral North as a logical extension of its established operational footprint in the basin.
No contract awards, vendor selections, or formal tender processes have been announced in connection with the Coral North drilling campaign at this stage. The project remains in its exploration and appraisal drilling phase, and commercial and engineering decisions regarding the development concept, FLNG vessel procurement, and subsea infrastructure would follow contingent on well results and reservoir confirmation.