$210m Moz-to-SA gas pipeline expansion moves ahead

30th November 2015 By: Creamer Media Reporter

$210m Moz-to-SA gas pipeline expansion moves ahead

The 865 km gas pipeline from the central processing facility (CPF) in Temane, Mozambique, to Secunda, South Africa, is to undergo a further $210-million expansion, the Republic of Mozambique Pipeline Investments Company (Rompco) confirmed on Monday.

Rompco is a joint venture (JV) between JSE-listed energy group Sasol, Companhia Mocambiçana de Gasoduto and State-owned South African Gas Development Company, or iGas.

The project, dubbed ‘Loop Line 2 (LL2)’, involves the installation of a 127 km pipeline in parallel to an existing line from scraper station 1 (STS1), about 128 km from the CPF, to scraper station 2.

The $200-million Loop Line 1 project, which runs from the CPF to STS1, was commissioned in December 2014.

The project is expected to become operational in early 2017 and will further increase Rompco’s transmission capacity.

The gas will initially be consumed in South Africa, but will eventually also service markets in Mozambique.

Rompco GM Louis Bosch says the LL2 project demonstrates the JV’s commitment to investing in the development of Mozambique’s infrastructure and addressing the energy demands of the rapidly expanding Mozambique economy.