Law 9/2026 in five points: what Mozambique’s new Local Content Law changes for oil and gas suppliers

The five changes

1. A Local Content Authority (art. 10) approves procurement plans, accredits certifiers, publishes the list of certified suppliers, inspects and sanctions. Local content stops being a contractual promise and becomes a regulated obligation, with fines of USD 50,000 to USD 300,000 (art. 35).
2. Every entity that contracts with a concessionaire or its contractors is covered (art. 3), and must pass the obligations down to its own subcontractors by contract, with joint liability.
3. Status is defined by registration and capital, not by a majority rule: a Mozambican legal person is registered in Mozambique with seat and management there; a preferred person has at least 20% Mozambican capital and a predominantly Mozambican workforce and payroll.
4. Bids are ranked by local content first (art. 16). Under the preference regime a qualifying Mozambican supplier wins with a price up to 20% above the lowest comparable foreign bid (art. 26); the exclusivity regime reserves goods and services with 80% national production factors, 20% Mozambican capital and 50% Mozambican payroll (art. 28).
5. Full subcontracting of a scope won under the preference or exclusivity regimes is forbidden without the Authority’s authorisation (art. 18), and partnerships must carry at least 20% national capital (art. 17).

What to do now

• Identify the regime that applies to the goods or services you intend to supply: exclusivity, preference or free market.
• Decide the structure before the next tender: Mozambican subsidiary, partnership with at least 20% national capital, or consortium.
• Prepare the certification file for when the Authority’s procedure opens: registration, tax and social security clearances, licences, ownership and management evidence, workforce data.
• Set up accounting that separates imported components, foreign salaries and interest paid abroad from the first invoice, because that is how the local content percentage is computed (art. 19).