Jun 28, 2012
Sasol to make investment call on 140 MW Moz power plant before year-endBack
Eskom|Sasol|Shanduka|Finland|Mozambique|South Africa|United Kingdom|MW Power Plant|Sasolburg Complex|Chemicals|Electricity|Final Investment|Gas Engine Power Project|Gas Pipeline|Temporary Gas-fired Power Plant|Christine Ramon|Electricidade De Mo
© 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
Other Construction News
Updated 42 minutes ago French nuclear vendor Areva has welcomed the publication of the draft Integrated Resource Plan (IRP) update report, notwithstanding its proposal that the integration of new nuclear capacity should be delayed and scaled back, or even abandoned entirely should the...
Updated 7 minutes ago South African construction group Murray & Roberts (M&R) on Wednesday said the proposed acquisition of the outstanding shares in Australian company Clough had been implemented, making Clough a wholly owned subsidiary of the group. M&R, which previously already held a...
Updated 47 minutes ago French nuclear vendor Areva has welcomed the publication of the draft Integrated Resource Plan (IRP) update report, notwithstanding its proposal that the integration of new nuclear capacity should be delayed and scaled back, or even abandoned entirely should the...
Updated 47 minutes ago State-owned water utility Rand Water’s Vereeniging-based Zuikerbosch water purification plant, which has been named a National Key Point, provides purified water to more than ten-million people a day in nineteen municipalities across Mpumalanga, Gauteng, the North...
Recent Research Reports
Defence 2013: A review of South Africa's defence industry (PDF Report)
Creamer Media’s 2013 Defence Report examines South Africa’s defence industry, with particular focus on the key players in the sector, the innovations that have come out of the defence sector, local and export demand, South Africa’s controversial...
Road and Rail 2013: A review of South Africa's road and rail infrastructure (PDF Report)
Creamer Media’s Road and Rail 2013 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...
Liquid Fuels 2013 (PDF Report)
Creamer Media’s 2013 Liquid Fuels report examines South Africa’s liquid fuels market, focusing on the business environment, oil and gas exploration, the country’s feedstock supplies, the development of South Africa’s biofuels industry, fuel pricing,...
Projects in Progress - Second Edition (PDF Report)
Creamer Media’s second Projects in Progress supplement considers some of the major project developments under way, including high-profile energy and transport projects, as well as a few of the lower-profile public and private developments. What remains apparent is...
Water 2013: A review of South Africa’s water sector (PDF Report)
Creamer Media’s Water 2013 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.
Canadian Mining Roundup for June 2013 (PDF Report)
The June 2013 roundup includes details of the development of TSX-V-listed Aldridge Minerals’ flagship Yenipazar polymetallic project, in Turkey; the Canadian Nuclear Safety Commission’s renewal of Cameco’s uranium mining licence pertaining to the Cigar Lake...
This Week's Magazine
Mitsubishi Motors South Africa (MMSA) has introduced a 4x2 derivative of its Pajero Sport sports-utility vehicle (SUV), which will give it access to a substantial slice of the full-size SUV market, where it will compete with the likes of the Ford Everest, Chevrolet...
South African Energy Minister Ben Martins has affirmed that the government wants the country to be globally competitive in the nuclear sector. "Our responsibility has always been ... to ensure that, in nuclear energy, South Africa can compete with the rest of the...
Mercedes-Benz South Africa (MBSA) president and CEO Dr Martin Zimmermann describes the new S-Class as “a special place to be”, with the car creating a sense of “wellness” once you are seated inside the German brand’s flagship model. It is difficult to argue...
Water scarcity and water-quality issues are broadly recognised and understood in most political, business and civil organisations in South Africa, but solving water issues will require wide and continuous action in catchments and municipalities by organisations and...
Work is well under way on the R212-million Imvutshane dam, 30 km north-west of Stanger, in KwaZulu-Natal, which is a key link in supplying people in rural Maphumulo with a reliable source of safe drinking water.