RBR Commits US$600K to Joint Venture Supporting Rovuma LNG Training Programs
RBR Group Limited has signed a conditional MOU with Field Ready Group to establish a joint venture focused on employability training in Mozambique, supporting major LNG projects including ExxonMobil’s Rovuma LNG. The venture, through RBR’s subsidiary Futuro Skills, aims to enhance local workforce readiness and economic growth.
- RBR and Field Ready to form joint venture via Futuro Skills with 51%-49% equity split
- JV targets employability training for Mozambique youth linked to Rovuma LNG Project
- RBR to provide up to US$600,000 non-recourse funding for initial venture operations
- Field Ready holds contracts with major operators including ExxonMobil, Vodacom, Sasol
- MOU conditional on formal shareholder agreement by June 30, 2025, and regulatory clearance
Strategic Partnership to Support Mozambique’s LNG Workforce
RBR Group Limited (ASX: RBR) has taken a significant step towards expanding its footprint in Mozambique’s burgeoning energy sector by signing a conditional Memorandum of Understanding (MOU) with the UK-headquartered Field Ready Group. This alliance aims to establish a joint venture focused on employability training and workforce development, particularly aligned with the $30 billion Rovuma LNG Project led by ExxonMobil.
The joint venture will operate through RBR’s existing subsidiary, Futuro Skills Mozambique Lda, with RBR holding a majority 51% stake and Field Ready owning 49%. This structure reflects RBR’s strategic commitment to local content development and workforce readiness in a region poised for substantial industrial growth.
Leveraging Established Industry Relationships
Field Ready brings to the table a robust portfolio of contracts with major international players such as ExxonMobil, Vodacom, Sasol, and Grindrod. Their expertise lies in delivering web-based and face-to-face training programs that enhance youth employability skills, industry certifications, and practical work experience. This positions the joint venture to effectively support Mozambique’s government and industry partners in meeting local workforce demands.
ExxonMobil’s role as Delegated Midstream Operator for the Rovuma LNG Project underscores the importance of this initiative. The training programs developed through the JV will focus on equipping local youth with skills directly relevant to the LNG supply chain, fostering sustainable employment opportunities and contributing to the region’s economic development.
Financial and Operational Framework
RBR has committed to funding the venture with a non-recourse loan of up to US$600,000, supporting the initial business plan and operational setup. Additionally, Getenergy Ltd, the intellectual property owner of the Field Ready system, will receive a capped fee based on the gross annual revenue generated by the JV, ensuring alignment of interests and incentivizing performance.
The MOU stipulates that a formal shareholder agreement must be executed by June 30, 2025, with provisions allowing either party to terminate the agreement if conditions are not met. What's more, the JV’s success depends on the absence of legislative impediments in Mozambique that could hinder implementation.
Leadership Perspective and Market Implications
RBR Chairman Ian Macpherson emphasized the strategic importance of the partnership, stating that equipping young Mozambicans with relevant skills is vital not only for the success of major projects like Rovuma LNG but also for fostering long-term economic growth in the region. This JV positions RBR as a key player in workforce development within Mozambique’s energy sector, potentially unlocking new revenue streams and strengthening its market presence.
While the MOU marks a promising start, the venture’s ultimate impact will hinge on the formalisation of agreements and the evolving regulatory landscape. Investors will be watching closely for updates on contract execution and early operational milestones.
Bottom Line?
RBR’s JV with Field Ready could become a cornerstone for local workforce development in Mozambique’s LNG boom, but execution risks remain.
Questions in the middle?
- Will the formal shareholder agreement be finalised by the June 30 deadline?
- How will Mozambique’s regulatory environment affect the JV’s implementation?
- What financial contributions and revenue growth can investors expect from the new venture?
