Mining is a cornerstone of Mozambique’s economic transformation, encompassing solid minerals and natural gas as core components of the extractive sector. Mozambique hosts significant deposits of coal, graphite, heavy mineral sands, gemstones, and industrial minerals, alongside some of Africa’s largest offshore natural gas reserves. Large-scale coal mining in Tete Province, world-class graphite projects, mineral sands operations, and offshore gas developments position the country as a major exporter of both minerals and LNG. The sector is capital-intensive, export-oriented, and led by international investors, supported by dedicated transport corridors, ports, and energy infrastructure.
Economic Contribution
Mining, including natural gas, contributes an estimated 18-22% of GDP and represents Mozambique’s largest source of export earnings and foreign direct investment. Natural gas and LNG dominate extractive revenues, while coal, graphite, and mineral sands provide additional foreign exchange inflows. The sector supports direct employment and substantial indirect job creation across construction, logistics, ports, railways, power generation, and engineering services, while generating significant fiscal revenues and catalyzing large-scale infrastructure development with economy-wide spillover effects.
Outlook
The outlook for Mozambique’s mining and gas sector is highly favorable, driven by continued LNG expansion, rising global demand for gas as a transition fuel, and sustained interest in battery and industrial minerals such as graphite and mineral sands. Strategic opportunities exist in LNG expansion, gas-to-power and gas-based industrialization, mine development, downstream processing, and logistics infrastructure. With regulatory stability, strong international investor participation, and alignment with national energy and industrial strategies, mining and gas are expected to remain central drivers of export growth, fiscal revenues, and long-term economic transformation.
