Mozambique’s oil and gas logistics pioneers

Mozambique

Bertrand Fleury De La Ruelle, senior country manager of Africa Global Logistics (AGL), talks to The Energy Year about the company’s business strategy in Mozambique and what differentiates it from other logistics providers. AGL is an Africa-focused multimodal logistics operator that is part of shipping and logistics company MSC Group.

How would you describe AGL’s business strategy in Mozambique?
AGL is dedicated to providing top-tier logistics solutions across Mozambique’s major ports: Maputo, Beira, Nacala and Pemba. We strive to streamline the process for our clients by eliminating the need for multiple intermediaries. Our goal is to be the single point of contact, handling everything “from A to Z.”
This commitment extends beyond port operations. AGL aims to be a comprehensive supply chain partner, not just the final link. Take the Beira Corridor, for example. We’re actively expanding our services, offering solutions along the entire route, from the port to deep inland. For the oil and gas industry, we manage the entire supply chain from overseas origins right to project sites, and we handle all the necessary intermediate steps.

What differentiates AGL from other logistic providers?
AGL boasts an extensive network across Africa, with operations in every country on the continent. This unique network positions us perfectly to spearhead the growth of intra-African trade, a key driver of the continent’s future economic development.
Within Mozambique, AGL has been a major logistics player for decades. We have a strong presence in all major ports, border crossings and inland regions. Our expertise extends beyond general logistics. We were the first international company to lead oil and gas logistics in Pemba, gaining extensive experience in the sector since the early 2000s.
This specialisation, coupled with our vast warehousing capacity across the country, makes AGL the ideal partner for any logistics needs in Mozambique. We’re continuously expanding our footprint, with new investments planned for Nacala and Pemba this year, which will further solidify our position as Mozambique’s premier logistics provider.

How do you envision the oil and gas sector in Cabo Delgado, and how is AGL preparing to resume activity?
AGL’s commitment to Mozambique’s oil and gas sector is unwavering. We’ve been a key partner for over 15 years, even weathering challenging periods without ever downsizing our Pemba operations. In fact, our dedication only intensified during the pandemic.
Over the past three years, we’ve strategically expanded our presence in Pemba, adding over 6,000 square metres of warehousing space near the port. This proactive approach ensures we’re fully equipped to handle the anticipated surge in oil and gas activity, with further investments potentially on the horizon. In short, AGL is here to stay and ready to support Mozambique’s oil and gas industry every step of the way.

How is AGL positioned to obtain funds for its growth projects?
We don’t just convince our shareholders of the potential – we actively invest alongside them. The logistics landscape in Mozambique is constantly evolving, presenting new opportunities every year.
Over the past decade, we’ve witnessed the rise of major projects, such as mining mega-projects and the LNG developments in Pemba. No one expected these initially, but AGL was there to support them every step of the way. Our track record of success in these projects strengthens our position when securing funding for further investments in Mozambique. We’re committed to being a long-term partner, growing alongside the nation’s economy.
The recent addition of a new shareholder marks a turning point for AGL. Their expertise and resources create exciting growth opportunities by expanding our service offerings and supply chain capabilities. This partnership fuels our optimism for the future of Mozambique’s logistics sector.

How do you assess the infrastructure supporting the logistics sector in the country?
While some infrastructure improvements are needed, particularly on roads, Mozambique boasts impressive achievements in port development. Maputo and Beira are prime examples, offering world-class operational efficiency that rivals ports across Africa and beyond.
The significant investments made in these facilities are evident in how smoothly they now function, although occasional congestion is a reality. Nacala appears to be on an upward trajectory, and Pemba’s infrastructure may require further development to handle anticipated growth.

How important is it for AGL to promote local content in its operations?
AGL prioritises local talent, with over 98% of our Mozambican workforce recruited from the regions where we operate. This commitment extends beyond simply hiring locals. We invest heavily in their development. While academic qualifications are important, we recognise the value of practical, in-house training programmes tailored to the logistics industry.
This focus on continuous learning empowers our young workforce and fosters a strong company culture, resulting in low employee turnover. While the cyclical nature of projects can occasionally lead to temporary departures, skilled AGL alumni often return, solidifying our stable and experienced Mozambican team.

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