TotalEnergies SE said Tuesday that Mozambique LNG project sponsors would establish a $200 million foundation for socio-economic development in the province of Cabo Delgado to better stabilize the region where the export plant would be located. 

Work on the $20 billion project was suspended in 2021 amid a rise in violence from militants with ties to the Islamic State group. TotalEnergies, which has a 26.5% stake in the 12.9 million metric tons/year project, released a humanitarian report it commissioned in December that signals work is likely to move ahead soon. 

“I think it implies they are looking to restart,” said Jason Feer, global head of business intelligence at Poten & Partners. “TotalEnergies have made some positive public statements recently, and we have heard that...