Domestic natural gas and helium producer Renergen has completed the registration process for South Africa’s first liquefied natural gas (LNG) auction, with the number of registrations significantly exceeding expectations.
The number of registrations demonstrate the inherent demand of the domestic market for alternative energy supplies, says CEO Stefano Marani.
Respondents are finalising nondisclosure agreements, which will allow for information sharing to start and to ascertain any specific site requirements allowing for the switch from other fuels to LNG.
Once the information sharing process has been completed, bidders will have until the end of October to submit their bids for LNG. Renergen will then assess all bids and allocate them accordingly.
“We expected some interest but certainly not the level received, with significantly more companies involved in the auction process than we had forecasted,” Marani enthuses.