French major Total has secured financing for its Mozambican liquefied natural gas (LNG) project (Area 1), according to a Bloomberg report. Mozambique will receive commitments for about $15 billion of financing at a signing scheduled in June, the report said, according to people familiar with the matter.
Rand Merchant Bank, Standard Bank Group Ltd. and Societe Generale SA, are among about 22 banks that will participate in the first phase of the financing commitment for the LNG project. Societe Generale SA is acting as the financial adviser.
The total estimated required funding for the project is around $23 billion.
The U.S. Export-Import Bank has approved the $4.7 billion loan to back American suppliers for the project. Japan Bank for International Cooperation will provide $3 billion, Mozambique state-owned newspaper Jornal Noticias reported on Tuesday.