The World Bank Implementation Status & Results Report Mozambique Mining and Gas Technical Assistance Project (P129847) Mozambique Mining and Gas Technical Assistance Project (P129847) AFRICA EAST | Mozambique | Energy & Extractives Global Practice | IBRD/IDA | Investment Project Financing | FY 2013 | Seq No: 16 | ARCHIVED on 28-Jan-2022 | ISR47897 | Implementing Agencies: Ministry of MIneral Resources, Republic of Mozambique, Ministry of Economy and Finance, Ministry of Mineral Resources and Energy Key Dates Key Project Dates Bank Approval Date: 28-Mar-2013 Effectiveness Date: 22-Aug-2013 Planned Mid Term Review Date: 20-Jun-2016 Actual Mid-Term Review Date: 26-Aug-2016 Original Closing Date: 31-May-2020 Revised Closing Date: 31-Dec-2022 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) The proposed project development objective is to strengthen the capacity and governance systems of key institutions to manage the mining and hydrocarbon sectors in Mozambique. Has the Project Development Objective been changed since Board Approval of the Project Objective? No Components Table Name Component A: Mining Governance Capacity Building and Reform:(Cost $20.40 M) Component B: Natural Gas Capacity Building and Governance Reform:(Cost $30.62 M) Component C: Cross-cutting Mining/ Natural Gas Capacity Building and Reforms:(Cost $19.90 M) Component D: Cross-Sectoral Reforms:(Cost $3.75 M) Component E: Project Management and Coordination:(Cost $8.99 M) PPA Refinancing:(Cost $0.60 M) Contingencies:(Cost $2.94 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Satisfactory Satisfactory Overall Implementation Progress (IP) Satisfactory Satisfactory Overall Risk Rating Moderate Moderate Implementation Status and Key Decisions Overall implementation of MAGTAP is rated Satisfactory, and the project has achieved a number of its PDO and intermediate results indicators. Disbursement is currently at 76 percent. The 12-month extension of the project to help in the recovery of the delay as a result of the COVID-19 pandemic, which contributed to the inability to carry out most of the activities, thus compromising the timely achievement of MAGTAP’s objectives was approved on May 21, 2021. 1/28/2022 Page 1 of 12 The World Bank Implementation Status & Results Report Mozambique Mining and Gas Technical Assistance Project (P129847) Progress toward the Project Development Objective (PDO): Project implementation is still seriously impacted by the COVID-19 crisis during 2021, limiting key contracts to get properly implemented. The extension of the end date of the project by twelve months has provided enough flexibility for key contracts to get back on track. The adoption of a monthly review practice for monitoring implementation led by MIREME with participation of all the beneficiaries is a positive step to ensure that the project sticks to the timeline. This helps to speed up implementation of certain components of the project, especially some key contracts handled by INAMI and DNGM that need urgent attention. Efforts led by MIREME on completing a waiver agreement with the Tribunal Administrativo is benefiting not just MAGTAP but also other ongoing WB funded projects. Local Content: The mission commends MIREME for the design and approval of the Programa Unico which defines the long-term strategy for advancing local content in the extractive industries. A significant outcome of this exercise, in addition to the direction and guidelines on local content policy, has been the empowerment of the task force on local content related to extractives projects, the Multisectoral Group. Technical discussions at the highest level of the Programa Unico with other sector ministries, including the Central Bank and MEF, planned by MIREME would ensure increased buy-in and ownership during implementation. The WB team is confident that these discussions that are scheduled to take place during February and March are timely; the Bank stands ready to contribute to this discussion and to support further dissemination of this strategy within the donor community. M&E PIU’s function: A local M&E has been hired by the MAGTAP project. This was long overdue and a critical step by the PIU since the M&E function has not been properly staffed for a long period during which the PIU has not been able to take on a more proactive role on monitoring the outputs and outcomes of MAGTAP, including careful tracking of the results framework indicators. The technical responsibility of the new M&E local expert have been properly framed, fully focused on cumulative and current results, outputs, and outcomes indicators, and not so much on evaluating the results of the activities carried out to date. WB procedures and the MAGTAP Financial Agreements establish that a proper and detailed evaluation of the project results should be prepared during the last six months period of project implementation and documented in an implementation completion report. As agreed with the PIU, the MAGTAP project with support from the WB team and an international M&E expert, would carry out a series of three thematic M&E workshops during February/March to discuss in detail with all the beneficiaries the progress on their outputs and outcomes, identifying follow up actions that would be performed by the local M&E expert. Further WB support on extractives: The WB's team has taken note of MIREME’s interest on exploring further WB involvement and support on extractives in relation to climate goals and targets beyond MAGTAP, considering some of the key international forces that are driving significant changes in global markets and geopolitics. Climate change and the global drive for a decarbonized economy are shaping the future of extractives, particularly on coal and gas, which are very relevant for the Mozambican economy. The country is facing various challenges in relation to the energy transition and decarbonization, which Mozambique will need to incorporate in its next round of concessions and in projects in the investment pipeline. The WB is committed to remain engaged on this complex agenda going forward and expects to provide MIREME and other entities with appropriate inputs for the development of policy responses, in particular through the new ProEnergia+ financing operation currently under development in Mozambique. A key output from that process will be to develop a National Fuel Strategy across all sectors of the Mozambican economy, and considering all forms of fuel and sources of energy, comprising renewable energy sources, but also defining the potential role that the vast gas resources of Mozambique would play in the domestic market. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance -- Moderate Moderate Macroeconomic -- Moderate Moderate Sector Strategies and Policies -- Moderate Moderate Technical Design of Project or Program -- Moderate Moderate Institutional Capacity for Implementation and -- Moderate Moderate Sustainability Fiduciary -- Low Low Environment and Social -- Substantial Substantial Stakeholders -- Moderate Moderate Other -- -- -- 1/28/2022 Page 2 of 12 The World Bank Implementation Status & Results Report Mozambique Mining and Gas Technical Assistance Project (P129847) Overall -- Moderate Moderate Results PDO Indicators by Objectives / Outcomes Strengthen the capacity and governance systems of key institutions to manage the mining and hydrocar IN01028853 ►Mining Cadastral database and GIS accessible on-line for public level information (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No Yes Yes Yes Date 01-May-2013 14-Sep-2020 14-Sep-2021 31-Dec-2022 IN01028854 ►Mines and quarries construction projects and gas project developments subject to technical inspections in line with international industry standards. (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 16.00 16.00 25.00 Date 01-May-2013 14-Sep-2020 31-Dec-2021 31-Dec-2022 Approved the Field Development Plan for Coral, Golfinho/Atum and Rovuma LNG. Comments: IN01028855 Mines and quarries construction projects subject to technical inspections in line with international industry standards (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 12.00 12.00 15.00 Date 01-May-2013 14-Sep-2020 31-Dec-2021 31-Dec-2022 IN01028881 Gas project developments subject to technical inspections in line with international industry standards (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 4.00 4.00 10.00 Date 01-May-2013 01-Jan-2021 31-Dec-2021 31-Dec-2022 IN01028882 ►Mining and gas operations subject to annual cost and fiscal audits in compliance with the established fiscal regime (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 17.00 20.00 25.00 Date 01-May-2013 14-Sep-2020 31-Dec-2021 31-Dec-2022 1/28/2022 Page 3 of 12 The World Bank Implementation Status & Results Report Mozambique Mining and Gas Technical Assistance Project (P129847) IN01028883 Mining operations subject to annual tax oversight and fiscal audits in compliance with the established fiscal regime (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 59.00 16.00 15.00 Date 01-May-2013 14-Sep-2020 31-Dec-2021 31-Dec-2022 IN01028884 Gas operations subject to annual cost and fiscal audits in compliance with the established fiscal regime (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 5.00 4.00 10.00 Date 01-May-2013 01-Jan-2021 31-Dec-2021 31-Dec-2022 IN01028885 ►New mining/gas/infrastructure concessionary contracts negotiated, benefitting from developed frameworks and procedures supported by the project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 14.00 14.00 5.00 Date 01-May-2013 14-Sep-2020 31-Dec-2021 31-Dec-2022 Approved Concession Agreements for Oil exploration and Production, resulting from the 5th round. Comments: IN01028886 ►Regular health and safety and environmental monitoring and control inspections to mines and gas projects in line with regulations for compliance and monitoring (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 334.00 5.00 50.00 Date 17-Jul-2017 14-Sep-2020 31-Dec-2021 31-Dec-2022 (1)Sasol; (2) Exploration and Processing of Sangage - Nampula Heavy Sands; (3) two gold exploration in Comments: Manica; (4) Exploration of Tantalite, Gold and Morganite from EMIZ -Zambezia IN01028887 ►ESIA and SIA guidelines published and disseminated for mining (LSM and ASM) and gas (if underway) (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No No No Yes Date 17-Jul-2017 14-Sep-2020 31-Dec-2021 31-Dec-2022 IN01028888 ►Direct project beneficiaries (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 2,322.00 2,618.00 3,500.00 1/28/2022 Page 4 of 12 The World Bank Implementation Status & Results Report Mozambique Mining and Gas Technical Assistance Project (P129847) Date 01-May-2013 14-Sep-2020 31-Dec-2021 31-Dec-2022 IN01028889 Female beneficiaries (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 46.00 46.00 35.00 IN01028890 ►Mines and quarries operations and gas project operations subject to regular technical inspections in line with international industry standards. (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 40.00 60.00 60.00 95.00 Date 26-Apr-2021 26-Apr-2021 31-Dec-2021 31-Dec-2022 IN01028891 Mines and quarries operations subject to regular technical inspections in line with international industry standards. (Percentage, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 45.00 65.00 65.00 90.00 Date 30-Jun-2014 26-Apr-2021 31-Dec-2021 31-Dec-2022 IN01028892 Gas project operations subject to regular technical inspections in line with international industry standards. (Percentage, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 100.00 Date 30-Jun-2014 26-Apr-2021 31-Dec-2021 31-Dec-2022 Intermediate Results Indicators by Components Component A: Mining Governance Capacity Building and Reform IN01028895 ►Mining Cadastre procedures updated (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No Yes Yes Yes Date 01-May-2013 14-Sep-2020 14-Sep-2021 31-Dec-2022 IN01028899 ►Mineral Information System upgraded with new geodata for strategic areas (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target 1/28/2022 Page 5 of 12 The World Bank Implementation Status & Results Report Mozambique Mining and Gas Technical Assistance Project (P129847) Value No No No Yes Date 01-May-2013 14-Sep-2020 31-Dec-2021 31-Dec-2022 The equipment was purchased awaiting rehabilitation of the facilities for installation of the equipment. Comments: IN01028902 ►Number of ASM associations/cooperatives (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 63.00 80.00 80.00 50.00 Date 05-Nov-2012 28-Feb-2020 31-Dec-2021 31-Dec-2022 480 Miners trained within the State budget Comments: IN01028905 ►Number of Artisinal "Mining Passes" issued and number of Small Scale "Mining Certificates" issued in accordance with regulations (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 73.00 73.00 200.00 Date 06-Sep-2017 14-Sep-2020 31-Dec-2021 31-Dec-2022 IN01028912 ►Procedures of tendering and evaluation of mineral assets developed (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No No No Yes Date 01-May-2013 14-Sep-2020 31-Dec-2021 31-Dec-2022 IN01028915 ►Number of ASMs who have received targeted training (of which female %) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 480.00 480.00 2,000.00 Date 01-May-2013 14-Sep-2020 31-Dec-2021 31-Dec-2022 Evaluation report on technical proposals finalized. 480 miners trained within the state budget. Comments: IN01028917 ►Health and safety and environmental regulations, including standards and monitoring procedures updated (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No No Yes Yes Date 01-May-2013 14-Sep-2020 14-Sep-2021 31-Dec-2022 Ongoing selection of consultants for both mine and gas Comments: 1/28/2022 Page 6 of 12 The World Bank Implementation Status & Results Report Mozambique Mining and Gas Technical Assistance Project (P129847) IN01028918 ►Local law enforcement and judicial personnel trained on mining law and regulations under the project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 200.00 Date 01-May-2013 14-Sep-2020 31-Dec-2021 31-Dec-2022 IN01028919 ►Number of geological blocks surveyed and number of sheets mapped of which publicly disclosed and available (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target 1 geological block Value surveyed and zero zero zero 33/100% sheets mapped Date 06-Dec-2017 14-Sep-2020 31-Dec-2021 31-Dec-2022 Ongoing survey Comments: IN01028920 Number of blocks surveyed of which publicly disclosed and available (Text, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 1 block surveyed zero zero 3/100% Date 06-Sep-2017 14-Sep-2020 31-Dec-2021 31-Dec-2022 IN01028921 Number of sheets mapped of which publicly disclosed and available (Text, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value Zero zero zero 30/100% Date 06-Sep-2017 14-Sep-2020 31-Dec-2021 31-Dec-2022 Component B: Natural Gas Capacity Building and Governance Reform IN01028893 ►Number of studies assessing economic and financial feasibility for development of gas infrastructure carried out (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 4.00 5.00 5.00 Date 01-May-2013 14-Sep-2020 31-Dec-2021 31-Dec-2022 (1) Feasibility study for the Farm in the PSA; (2) Business Plan for ENHLogistic; (3) Financial Advisory Services for ENH, (4) Initial Phase of the LNG Project; (5) Pre-feasibility study for the transport of natural Comments: gas from Palma to South IN01028897 ►Emergency response procedures for INP developed (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target 1/28/2022 Page 7 of 12 The World Bank Implementation Status & Results Report Mozambique Mining and Gas Technical Assistance Project (P129847) Value No No No Yes Date 06-Sep-2017 14-Sep-2020 31-Dec-2021 31-Dec-2022 IN01028901 ►Staff of gas sector management institutions trained through MAGTAP to manage, regulate and monitor gas sector (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 48.00 108.00 100.00 Date 01-May-2013 14-Sep-2020 31-Dec-2021 31-Dec-2022 IN01028908 ►Tools and mechanisms to attract financing for the State participation are in place (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No Yes Yes Yes Date 01-May-2013 14-Sep-2020 14-Sep-2021 31-Dec-2022 Ongoing refinancing of Area 1, where LH was appointed the consultant. Comments: IN01028911 ►A regional office in the North has been equipped and is operational to undertake health and safety, and environmental inspections of gas operations (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No Yes Yes Yes Date 01-May-2013 14-Sep-2020 14-Sep-2021 31-Dec-2022 Already equipped. Comments: Component C: Cross-cutting Mining/ Natural Gas Capacity Building and Reforms IN01028894 ►Computerized Environmental and Social Management Information System developed (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No No No Yes Date 01-May-2013 14-Sep-2020 31-Dec-2021 31-Dec-2022 IN01028898 ►Results of Strategic Environmental and Social Assessment publicly disclosed by GoM in papers and through workshops and public outreach (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No Yes Yes Yes Date 01-May-2013 14-Sep-2020 14-Sep-2021 31-Dec-2022 IN01028903 1/28/2022 Page 8 of 12 The World Bank Implementation Status & Results Report Mozambique Mining and Gas Technical Assistance Project (P129847) ►SESA Action Plan implementation is tracked continuously by the Recipient with engagement of stakeholders through public consultation process and feedback mechanism (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No Yes Yes Yes Date 10-Oct-2017 14-Sep-2020 14-Sep-2021 31-Dec-2022 Workshops to be organized for consultation and feedback on the activities. Comments: IN01028907 ►Number of pilot CIA data collection and analysis completed and capacity building action plans under implementation (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 1.00 0.00 2.00 Date 06-Sep-2017 14-Sep-2020 31-Dec-2021 31-Dec-2022 IN01028910 ►Annual disclosure of reports on extractive industries revenues and revenue allocation at national level (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 7.00 9.00 8.00 Date 01-May-2013 14-Sep-2020 31-Dec-2021 31-Dec-2022 8th report disclosed and 9th report under preparation Comments: IN01028914 ►Provincial Directorates of Mineral Resources equipped & capable to monitor and inspect mining & exploration operations in their jurisdictions (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 1.00 10.00 10.00 10.00 Date 01-May-2013 14-Sep-2020 31-Dec-2021 31-Dec-2022 IN01028916 ►Number of CSO/CBOs trained on transparency monitoring across the extractive sector value chain (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 180.00 180.00 50.00 Date 01-May-2013 14-Sep-2020 31-Dec-2021 31-Dec-2022 Component D: Cross-Sectoral Reforms IN01028896 ►Gender-focused strategy specific to mining formulated (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target 1/28/2022 Page 9 of 12 The World Bank Implementation Status & Results Report Mozambique Mining and Gas Technical Assistance Project (P129847) Value No No No Yes Date 06-Dec-2017 14-Sep-2020 31-Dec-2021 31-Dec-2022 IN01028900 ►Total number of community pilots implemented in extractives areas and lessons learnt made public (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 3.00 Date 06-Sep-2017 14-Sep-2020 31-Dec-2021 31-Dec-2022 IN01028904 ►Number of studies with specific recommendations completed and adopted to stimulate linkages between mining and gas projects and Mozambican economy (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 2.00 2.00 2.00 Date 01-May-2013 14-Sep-2020 31-Dec-2021 31-Dec-2022 Contribution on: (1) Draft of National Content Law; (2) Recommendations to the "Review of New Matrix of the SME Comments: Development Strategy and Operational Strategic Plan 2019-2021"; (3) Recommendation of "Revision of policy instruments and incentives for the improvement of the doing business environment" IN01028906 ►Sector specific regulations and action plan for local content developed and adopted (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No Yes No Yes Date 01-May-2013 01-Jan-2021 31-Dec-2021 31-Dec-2022 MIREME to prepare Local Content Policy. Comments: IN01028909 ►Number of local firms participating in tenders and providing goods and services to gas and mining operations (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 7.00 7.00 20.00 Date 06-Sep-2017 14-Sep-2020 31-Dec-2021 31-Dec-2022 "Technip: Information sent to more than 150 companies strayed from the study database 1 and 2 funded by MAGTAP and 07 companies applied; Comments: Exxon Mobil: Provided list of 25 companies, strayed from the database of study 1 and 2 funded by MAGTAP; no info yet of how many applied. IN01028913 ►Standards & procedures for oil & gas contingency planning & emergency preparations developed (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target 1/28/2022 Page 10 of 12 The World Bank Implementation Status & Results Report Mozambique Mining and Gas Technical Assistance Project (P129847) Value No Yes Yes Yes Date 01-May-2013 14-Sep-2020 14-Sep-2021 31-Dec-2022 This was done through the project “Review and Operation Contingency Plan for oil spill” funded by Comments: MAGTAP. Performance-Based Conditions Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P129847 IDA-51990 Effective USD 50.00 50.00 0.00 42.68 3.62 92% P129847 IDA-D2390 Effective USD 28.00 28.00 0.00 12.43 15.46 45% P129847 TF-16113 Closed USD 7.37 7.36 0.00 7.43 0.00 100% P129847 TF-A8583 Closed USD 1.03 1.03 0.00 1.00 0.00 100% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P129847 IDA-51990 Effective 28-Mar-2013 19-Apr-2013 22-Aug-2013 31-May-2020 31-Dec-2022 P129847 IDA-D2390 Effective 01-Nov-2017 15-Dec-2017 15-Mar-2018 31-Dec-2021 31-Dec-2022 P129847 TF-16113 Closed 27-Jan-2014 27-Jan-2014 27-Jan-2014 30-Nov-2018 30-Sep-2020 P129847 TF-A8583 Closed 18-Sep-2018 22-Oct-2018 22-Oct-2018 30-Sep-2020 30-Sep-2020 Cumulative Disbursements 1/28/2022 Page 11 of 12 The World Bank Implementation Status & Results Report Mozambique Mining and Gas Technical Assistance Project (P129847) PBC Disbursement Achievement Disbursed amount in Disbursement % PBC ID PBC Type Description Coc PBC Amount Status Coc for PBC Restructuring History Level 2 Approved on 15-Sep-2016 ,Level 2 Approved on 14-May-2021 Related Project(s) P161683-Mining and Gas Technical Assistance Additional Financing 1/28/2022 Page 12 of 12