Jun 28, 2012
Sasol to make investment call on 140 MW Moz power plant before year-endBack
Africa|CoAL|Engines|Eskom|PROJECT|Projects|Sasol|Shanduka|Africa|Finland|Mozambique|South Africa|United Kingdom|MW Power Plant|Sasolburg Complex|Chemicals|Electricity|Energy|Final Investment|Gas Engine Power Project|Gas Pipeline|Power Generation|Power-generation|Temporary Gas-fired Power Plant|Christine Ramon|Electricidade De Mo|Infrastructure|Power
© Reuse this
In a letter to shareholders, CFO Christine Ramon indicated that the development was being pursued by Sasol New Energy, in partnership with State-owned power utility Electricidade de Moçambique (EDM).
Sasol was likely to take a 49% shareholding in the power plant, which was expected to start operating during 2014.
In June, Aggreko, of the UK, and black economic-empowerment company Shanduka unveiled plans for a 107 MW temporary gas-fired power plant, in Mozambique, which would be fuelled by gas from Sasol's Temane gasfield.
The electricity, which should begin flowing later this year, would be purchased by South African power utility Eskom (92 MW) and its Mozambican counterpart, EDM, which had signed an agreement for 15 MW.
The plant was being developed at a site near Ressano Garcia, which is said to be located near to the existing Sasol gas pipeline, running from northern Mozambique to South Africa, as well as a 275 kV transmission corridor.
Aggreko indicated it would build gas interconnections, a substation, and a 1.5 km 275 kV transmission line to the main network and the infrastructure would remain intact after the ‘bridging’ installation was dismantled.
Aggreko and Shanduka indicated that Sasol planned to reallocate the gas to “other ventures” after July 2014.
The Sasol-EDM project was likely to be similar to the 140 MW power plant being built at a cost of R1.8-billion at the group’s Sasolburg complex, in South Africa’s Free State province.
The South African facility would also be fuelled by natural gas from Mozambique and the output would replace coal-fired power generation, enabling Sasol to reduce its carbon dioxide emissions from Sasolburg by a further one-million tons a year.
The first gas engines arrived at the Sasolburg complex in May 2012 and Ramon said commissioning was expected during the fourth quarter of 2012.
Sasol recently concluded an agreement with the local unit of Wärtsilä, of Finland, to operate and maintain the plant for three years.
“As a result of this and other projects, Sasol is on track to produce approximately 60% of its electricity requirements by 2013,” Ramon reported.
Edited by: Creamer Media Reporter© Reuse this Comment Guidelines (150 word limit)
Other Electricity News
International consulting engineering company Royal HaskoningDHV (RHDHV) has appointed Salani Sithole as South African MD, effective March 1. Sithole has been with the company for six years and, prior to joining RHDHV, held various positions in engineering consulting,...
Recent Research Reports
Construction 2015: A review of South Africa’s construction sector (PDF Report)
Creamer Media’s Construction 2015 Report examines South Africa’s construction industry over the past 12 months. The report provides insight into the business environment; the key participants in the sector; local construction demand; geographic diversification;...
Liquid Fuels 2014 - A review of South Africa's Liquid Fuels sector (PDF Report)
Creamer Media’s Liquid Fuels 2014 Report examines these issues, focusing on the business environment, oil and gas exploration, the country’s feedstock supplies, the development of South Africa’s biofuels industry, fuel pricing, competition in the sector, the...
Water 2014: A review of South Africa's water sector (PDF Report)
Creamer Media’s Water 2014 report considers the aforementioned issues, not only in the South African context, but also in the African and global context, and examines the issues of water and sanitation, water quality and the demand for water, among others.
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.
This Week's Magazine
National flag carrier South African Airways (SAA) is in an advanced stage of renegotiating its deal with European airliner manufacturer Airbus to acquire A320 single-aisle (or narrow body) aircraft. The aim is to replace ten of the aircraft still on order with five...
Worldwide, the main thrust in the ports industry over the past decade or more has been to increase efficiency. Traditionally, ports have been run by engineers and mariners and, in the past, increasing a port’s capacity was achieved by expanding the harbour. “That has...
What do you do when an elephant has a toothache? You call Dr Gerhard Steenkamp from the University of Pretoria’s (UP’s) faculty of veterinary science, Onderstepoort, one of only two elephant ‘dentists’ in the world.
The 2015 Sanlam/Business Partners Entrepreneur of the Year (EOY) competition was launched earlier this month in Johannesburg, with the main focus on creating and inspiring entrepreneurs to create jobs and boost the economy.
In a recent letter to the editor that I sent to Engineering News (Concerns regarding South African portion of Square Kilometre Array) and in a follow-up article elaborating further (We must start preparations to build our own synchrotron light source), I stated my...