Mozambique is a rapidly developing, resource-rich country found on the Eastern coast of Africa. Due to new and promising discoveries of natural gas sites along its coast, Mozambique has become the third largest proved natural gas reserves site in Africa, placing shortly after Nigeria and Algeria. Though the developing country only produces a relatively small volume of natural gas, around 154 billion cubic feet of natural gas as of 2012, it could become the world 's third largest exporter of liquefied natural gas within the next decade (1). Currently, U.S.-based Anadarko Petroleum Company and Italian-based Eni Petroleum Company are leading explorations in the offshore Rovuma Basin of Mozambique. Anadarko Executive Chairman Jim Hackett has stated
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Other domestic issues include poor health and sanitization, mass illiteracy and lack of education opportunities, as well as government corruption halter the progress of the country (6). That being said, however, the economic benefits from natural gas production could translate to major benefits for the poverty-stricken nation. According to Giovanni Melina and Yi Xiong of the International Monetary Fund (IMF), “liquefaction and transportation facilities are to be built, and by mid-2020s Mozambique would be exporting tens of million tons of LNG to the rest of the world, in turn bringing in billions of dollars of revenue back to the country each year.” Natural gas, along with other types of energy production, could potentially increase Mozambique 's economic growth rate by 2 percent annually from the years 2013 to 2023.The Mozambican government, in addition to this impressive economic growth, hopes also to see employment rates rise as a result from the natural gas development, provided it’s citizens will be able to find jobs in the industrial sector …show more content…
The United States, in particular, can benefit from these developments by expanding their access to energy sources, reducing other energy imports, diversifying energy sources and managing the newly uncovered oil and gas resources to generate wealth for the benefit of global society. Many argue that the production of energy sources in Sub-Saharan Africa is an act of morality, seeing as the development could give energy access for over 590 million people currently living without it. Additionally, if the U.S. expands and diversifies its energy resources, especially with natural gas, they can reduce their reliance on foreign oil that further supports and protects the U.S. energy investment
Other domestic issues include poor health and sanitization, mass illiteracy and lack of education opportunities, as well as government corruption halter the progress of the country (6). That being said, however, the economic benefits from natural gas production could translate to major benefits for the poverty-stricken nation. According to Giovanni Melina and Yi Xiong of the International Monetary Fund (IMF), “liquefaction and transportation facilities are to be built, and by mid-2020s Mozambique would be exporting tens of million tons of LNG to the rest of the world, in turn bringing in billions of dollars of revenue back to the country each year.” Natural gas, along with other types of energy production, could potentially increase Mozambique 's economic growth rate by 2 percent annually from the years 2013 to 2023.The Mozambican government, in addition to this impressive economic growth, hopes also to see employment rates rise as a result from the natural gas development, provided it’s citizens will be able to find jobs in the industrial sector …show more content…
The United States, in particular, can benefit from these developments by expanding their access to energy sources, reducing other energy imports, diversifying energy sources and managing the newly uncovered oil and gas resources to generate wealth for the benefit of global society. Many argue that the production of energy sources in Sub-Saharan Africa is an act of morality, seeing as the development could give energy access for over 590 million people currently living without it. Additionally, if the U.S. expands and diversifies its energy resources, especially with natural gas, they can reduce their reliance on foreign oil that further supports and protects the U.S. energy investment