Name of the Project
Sasol production sharing agreement (PSA) licence area development project.

Location
Mozambique.

Client
Sasol.

Project Description
The field development plan will result in further hydrocarbon resources being developed to support Sasol’s Southern Africa growth drivers.

The first phase of the PSA licence area development proposes an integrated oil, liquefied petroleum gas and gas project adjacent to Sasol’s petroleum production agreement (PPA) area. Sasol already produces gas and condensate from the Pande and Temane fields in the PPA area.

The project includes the development of a fifth train at the central processing facility to process additional gas from the PSA licence area.

Jobs to Be Created
Not stated.

Value
Tranche 1 of the first phase of the PSA development project, including the fifth train, will cost an estimated $1.4-billion.

Duration
Sasol expects to complete a 13-well drilling programme by the end of 2018. The project’s beneficial operation date is 2020.

Latest Developments
Sasol has reported in its interim results for the six months ended December 31, 2017, that $285-million has been invested in the PSA field development plan, largely comprising drilling and surface facilities. Nine wells relating to the first phase have been successfully drilled and tested, while the drilling of the first of two delineation wells relating to the second phase is under way.

Sasol exects oil production to be between the mid- and lower-end of the range presented in the field development plan. The gas wells have confirmed that there is sufficient gas to cover initial downstream opportunities.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
The first phase of the development of the PSA licence area remains on budget and on schedule.

Contact Details for Project Information
Sasol head of group relations Alex Anderson, tel +27 11 441 3295 or email alex.anderson@sasol.com.