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 Total, Matola Gas Company, and Gigajoule. Mozambique’s State-owned gas company, ENH, also has a share in the project.

Project Description
The Mozambican Council of Ministers has awarded mid 2019 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.

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 via the existing power lines.

Following the award of concessions, Gigajoule and Total signed a joint development agreement for the importation of LNG (BGC) and power generation (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 a new up to 2 000 MW 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 (TLF) capable of supplying an initial volume of up to 18 PJ/y to customers by road transport. The TLF can reach markets economically in a 750 km radius from Matola.

Potential Job Creation
BGC – Approximately 70+ permanent employees during operation (direct)

Capital Expenditure
The gas pipeline network, harbour infrastructure, the TLF, and the 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 $500-million.

Planned Start/End Date
The project is scheduled to begin operating in 2023 but is market-dependent.

Latest Developments
The front-end engineering design (FEED) for the greenfield LNG import terminal, all pipeline infrastructure and the TLF has been completed.

Environmental- and social-impact studies for the pipelines have been completed. The environmental- and social-impact studies for the importation terminal and TLF is expected to be completed mid-2021.

The FRSU RFP responses have been received and the preferred bidder selection is scheduled for June 2021.

The EPC RFQ is planned to be sent out in June 2021.

The developers of the project are in discussions with potential energy and industrial offtakers in Mozambique and South Africa, with the first off-take term-sheets signed.

Key Contracts and Suppliers
Consultec (environmental- and social-impact studies); Bowman Gilfillan and Clifford Chance (legal consultants); Societe Generale (financial adviser); VGI (pipeline 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

 [MOU1]Update please