Shortlist for Mozambique Pipeline Announced

Sasol announced the names of the contractors on their shortlist for building a $600 million pipeline to supply natural gas from offshore Mozambique to South Africa. The contractors are:
  • South Africa's Grinaker in partnership with McConnel Dowell and C.C.C. of Lebanon
  • Italy's Saipem in partnership with Spain's Impresa Gizzoni
  • Bechtel (U.S)
  • Dodsal (India)
  • France's Spie-Capag in partnership with Fluor Daniel and Concor Holdings
  • Australia's Transfield in partnership with Murray&Roberts and Petronas unit OGP Pipelines.

The proposed 870 kilometer, 660mm diameter pipeline will run from the Temane and Pande gas fields in the Inhambane province of Mozambique, via Ressano Garcia on the border to Secunda in South Africa.

Gas from the $1 billion Mozambique project will initially be used to convert Sasol's chemical plants at Sasolburg from a coal feedstock to exclusively gas.

The second phase of the project would see the gas being used as a supplementary feedstock to coal at Sasol's synthetic fuel plants at Secunda. Sasol also has plans to use the Mozambique gas to expand its domestic pipeline network which currently serves approximately 700 industrial customers in three South African provinces.

The contract for the pipeline is expected to be awarded by the end of 2001 and flow from the pipeline should begin in 2003.