The fabrication of liquefied petroleum gas (LPG) vessels, or ‘bullets’, for an open access LPG terminal being developed at Saldanha Bay, in the Western Cape, has been completed.
Sunrise Energy reported on Monday that the bullets would be moved to the terminal site over the coming five weeks, marking a key milestone in Phase 1 of the R1.2-billion storage project.
The pressure vessels, which were fabricated domestically, would provide 5 500 t of LPG storage capacity at the facility, which would be operational by the second quarter of 2017.
The company would provide terminal services to gas importers and would not own or trade LPG, with the National Energy Regulator of South Africa recently granting tariff approval for the facility.
Sunrise Energy CEO Pieter Coetzee said the project would alleviate the gas shortages that the Western Cape had been experiencing, particularly during the colder winter months.
He added that the two subsequent phases would be suited for the delivery of LPG to a power generation project in Saldanha.
Sunrise Energy is majority owned by MOGS (60%), a subsidiary of Royal Bafokeng Holdings (RBH), with the State-owned Industrial Development Corporation (31%) and Illitha Group Holdings (9%) as minority participants.
RBH CEO Albertinah Kekana said the completion of the project would play a role in helping resolve South Africa’s energy challenges and promote fuel and energy security.