Jun 06, 2012
107 MW gas-fired temporary power plant under development in MozBack
Ressano Garcia|Africa|CoAL|Eskom|PROJECT|Shanduka|Africa|Kenya|Mozambique|Scotland|South Africa|Tanzania|Uganda|United Kingdom|USD|Electricity|Energy|Gas Pipeline|Power Generation|Power-generation|Supply Electricity|Temporary Gas-fired Power Plant|Electricidade De Mo|Infrastructure|Power|Rupert Soames|Proximity
© Reuse this
The facility will be fuelled by gas from Sasol's Temane gasfield and the electricity will be purchased by South African power utility Eskom and its Mozambican counterpart, Electricidade de Moçambique (EDM).
Power purchase agreements (PPAs) have been concluded with both Eskom and EDM, with Eskom signing up for 92 MW of the available capacity and EDM 15 MW.
The commercial terms of the PPAs were not disclosed, but the joint venture expects revenues of $250-million over the operational period, which should begin in October and continue through until July 2014.
Eskom is planning to use the power to bolster its base-load capacity ahead of the introduction of new generation capacity from the Medupi coal-fired power station, the first unit of which will begin ramping up towards the end of 2013. EDM has contracted with the facility to meet its daily peak demand.
Besides installing containerised power generation units, which will be shipped in from Dumbarton, in Scotland, Aggreko will also build gas interconnections, a substation, and a 1.5 km 275 kV transmission line to the main network. This infrastructure will remain intact once the installation is dismantled.
However, both Mahanyele and Soames stress that some outstanding conditions remain, which they hope to finalise over the coming weeks.
Aggreko has already invested “tens of millions of dollars” at its own risk to ensure that the project is able to meet its challenging 22-week deployment schedule.
Soames explains that an accelerated deployment is necessary given that Sasol is likely to reallocate the gas to other ventures after July 2014. However, he says that Aggreko is attuned to playing such a “bridging role”, as it has in Kenya, Uganda and Tanzania, as well as in other parts of the world.
Edited by: Creamer Media Reporter© Reuse this Comment Guidelines (150 word limit)
Other Video News
Recent Research Reports
Defence 2014: A review of South Africa's defence industry (PDF Report)
Creamer Media’s Defence 2014 report examines South Africa’s defence industry, with particular focus on the key participants in the sector, the innovations that have come out of the sector, local and export demand, South Africa’s controversial multibillion-rand...
Road and Rail 2014: A review of South Africa's road and rail infrastructure (PDF report)
Creamer Media’s Road and Rail 2014 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail network, the funding and maintenance of these respective networks, and the push to move road...
Real Economy Year Book 2014 (PDF Report)
This edition drills down into the performance and outlook for a variety of sectors, including automotive, construction, electricity, transport, steel, water, coal, gold, iron-ore and platinum.
Real Economy Insight: Automotive 2014 (PDF Report)
This four-page brief covers key developments in the automotive industry over the past 12 months, including an overview of South Africa’s automotive market, trade figures, production and the policies influencing the sector.
Real Economy Insight: Construction 2014 (PDF Report)
This five-page brief covers key developments in the construction industry over the past 12 months. It provides an overview of the sector and includes details of employment in the sector, infrastructure and municipal spending, as well as insight into companies’...
Real Economy Insight: Electricity 2014 (PDF Report)
This five-page brief covers key developments in the electricity industry over the past 12 months, including details of State-owned power utility Eskom’s generation activities, funding and tariffs, independent power producers and prospects for the sector.
This Week's Magazine
JSE-listed real estate investment trust (REIT) Rebosis Property Fund achieved a distribution growth of 8.1% to 99.45c per linked unit in the financial year ended August 31, despite volatile market conditions.
A low-cost, inflatable incubator won this year’s international James Dyson design award, which aims to encourage and inspire the next generation of design engineers.
The World Bank released its ‘Doing Business 2015: Going Beyond Efficiency’ report last month and ranked South Africa 43 out of 189 global economies for its ease of doing business, with Singapore topping the rankings.
Air Products South Africa officially launched its R300-million Eastern Cape air- separation unit (ASU), at its new manufacturing facility in the Coega Industrial Development Zone (IDZ), earlier this month. It is the second facility that Air Products launched in South...
BMW South Africa (SA) has signed a power purchasing agreement with energy company Bio2Watt. The offtake partnership will bring renewable energy to the carmaker’s Rosslyn plant, north of Pretoria.