A UK court on Friday threw out an appeal by Friends of the Earth against the government's financing of a gas project in Mozambique on environmental grounds.
The lobby group had challenged a 2020 decision by UK Export Finance to provide up to $1.15 billion for the liquefied natural gas project in Cabo Delgado, northeast Mozambique, and which is being spearheaded by French energy giant TotalEnergies.
The group had already lost a High Court case in March when two judges had failed to agree on an outcome.
December's hearing at the UK Court of Appeal was heard by three judges.
Friends of the Earth had argued that the UK government's decision to back the project failed to fully take into consideration state obligations, under the Paris Agreement target of limiting global warming to 1.5 degrees Celsius.
Friends of the Earth said it would consider further appealing to the Supreme Court.
"This extremely disappointing judgement doesn't alter our firm belief that the UK government should not be supporting the Mozambique gas project, or any fossil fuel project at home or abroad," said Rachel Kennerley, international climate campaigner at the group.
"The climate crisis is intensifying with record-breaking heat waves and devastating floods and droughts, and countries like Mozambique are at the forefront of these impacts," she added in a statement.
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