Name and Location
Coal-to-liquids (CTL) plant, Mozambique.

Client
The Mozambique government through the Ministry of Energy.

Project Description
The project entails the development of a CTL plant to produce 40 000 bbl/d of transport fuel and chemical by-products from up to 17-million tons of coal a year of low-grade nonexportable and nonsaleable coal from Mozambique’s Tete basin.

The government of Mozambique will have first option on the 20 000 bbl/d produced, leaving the excess capacity to be exported to Tanzania, Malawi, Zambia, Botswana and other Southern African Development Community countries and/or be converted to chemical feedstock for export.

A pipeline is also planned to transport white products from Tete to Savane on the Indian Ocean north of Beira through a servitude to a terminal.

Value
Not stated.

Duration
The bankable feasibility study on the project will be completed by the end of 2014 and, subject to final viability, financial closure is expected by October 2015, enabling construction to start in the first quarter of 2016.

Latest Developments
Mozambique’s Ministry of Energy and Clean Carbon Industries (CCI) – a joint venture between Twin City Venture Capital, Hugh Brown & Associates, local Mozambique shareholders and a team of international engineering specialists – will undertake a full feasibility study for the development of a CTL plan in Tete province.

The study, which is already in the final stages of prefeasibility, is well advanced, having started in concept in February 2011.

During a meeting in May, CCI submitted the Phase 1 results to the Minister of Energy, Dr Salvador Namburete, and his team in Maputo.

Key Contracts and Suppliers
CCI (feasibility study).

On Budget and on Time?
Too early to state.

Contact Details for Project Information
Mozambique Ministry of Energy, tel + 258 21 357630.
CCI, Koos Smit, email smitjj@mweb.co.za, hbgroup@mweb.co.za or esme@twincity.co.mz.