France Bank Credit Agricole has refused to fund Papua LNG project in Papua New Guinea (PNG). Now it adds Rovuma project in Mozambique, Africa to its list.
The other major French banks, including long-standing supporters of TotalEnergies such as BNP Paribas and Société Générale, have declared that they will not finance the project. Reclaim Finance has welcomed these decisions and calls on other international banks to follow suit in order to put a stop to this project, which it says is harmful to the environment, the climate and human rights.
In Papua New Guinea, Minister for Petroleum and Energy Jimmy Maladina in a response to Post Courier claimed that he spoke to Total Energies Vice President for South East Asia Thomas Maurisse.
Minister Maladina dismissed the claims saying Total Energies have support worldwide from other banks to back the project Papua LNG project.
Credit Agricole has now added Eni’s Rovuma project in Mozambique, Africa, making it two big LNG projects the bank refuses to fund.
The decision follows pressure on banks from environmental groups to shift investment dollars away from climate-warming oil and gas projects. Barclays, HSBC and BNP Paribas have tightened oil and gas lending as reported by Reuters.
Gas and Pipeline Journal highlights strong opinions by LNG experts.
“The decision to not finance the project is a serious blow to the project and TotalEnergies, and it could undermine their ability to finance the project,” Lucie Pinson of Reclaim Finance said of the Papua LNG export facility. If another bank wants to step in and take over the role they will need to start from the beginning” Pinson added.
“Credit Agricole must now show consistency, and stop supporting the Mozambique LNG project that TotalEnergies is currently seeking to relaunch,” said Lorette Philippot, Private Finance campaigner at Friends of the Earth France.
