Matola LNG importation terminal, Mozambique – update

21st April 2023 By: Sheila Barradas - Creamer Media Research Coordinator & Senior Deputy Editor

Matola LNG importation terminal, Mozambique – update

Name of the Project
Matola LNG importation terminal.

Location
Matola, Mozambique.

Project Owner/s
The project is being developed by the Beluluane Gas Company (BGC) – a joint venture between TotalEnergies (formerly Total), Matola Gas Company and Gigajoule. Mozambique State-owned gas company ENH also has a share in the project.

Project Description
The Mozambican Council of Ministers awarded a liquefied natural gas (LNG) import concession to BGC and approved the construction of a 16 km, 28-inch pipeline linking the terminal to the existing Matola Gas Company (MGC) transmission network in mid-2019.

Another concession was awarded to Central Térmica de Beluluane (CTB) for the construction and operation of a 2 000 MW gas-fired power plant in the Beluluane Industrial Park area, in Matola, which can supply power to South Africa through the existing power lines.

Following the award of concessions, Gigajoule and TotalEnergies signed a joint development agreement for the importation of LNG (from BGC) and power generation (from CTB) on November 27, 2019.

Importation of LNG (BGC)
The concession includes the operation of a permanently moored floating storage regasification unit (FSRU), marine infrastructure and a new high-pressure gas pipeline.

The proposed gas pipeline will connect the FSRU with the new gas-fired power plant. The pipeline will also connect to the existing MGC pipeline network in Matola, which is connected to the Rompco pipeline, supplying gas to South Africa and balancing the Pande/Temane decline.

The project also includes an onshore LNG truck-loading facility capable of supplying an initial volume of up to 18 PJ/y to customers by road transport. The facility can reach markets economically in a 750 km radius from Matola.

Potential Job Creation
BGC will employ more than 70 permanent employees during operation.

Capital Expenditure
The gas pipeline network, harbour infrastructure, truck-loading facility and connection to the South African gas pipeline network through the MGC gas infrastructure, which includes a loop-line of the MGC high-pressure pipeline, will cost about $550-million.

Planned Start/End Date
Construction on the LNG import facility was scheduled to start in January 2023. The LNG terminal is expected to receive its first shipments of gas to a permanently moored FSRU in Matola harbour by mid-2025.

Latest Developments
None stated.

Key Contracts and Suppliers
Consultec (environmental- and social-impact studies); Bowman Gilfillan and Clifford Chance (legal consultants); Societe Generale (financial adviser); VGI (pipeline front-end engineering design, or FEED) and Wood (marine FEED).

Contact Details for Project Information
BGC, email info@bgc.co.mz
CTB, email info@ctb.co.mz
MGC, email info@mgc.co.mz.