Triton Minerals advances Mozambique graphite projects in Q4 2023
FILE - For illustration purposes only. [File photo: Lusa]
The Mozambican government has extended the concession to the MGC company for the 100-kilometre gas pipeline between Ressano Garcia, on the border with South Africa, and Matola, with investments of €280 million for 15 years.
The cabinet took the decision on Tuesday, according to a statement released at the end of the weekly meeting on the approval of the decree extending, for a period of 15 years, the concession contract for the gas pipeline, owned by Matola Gás Company (MGC), “for the transport of natural gas from Ressano Garcia to the city of Matola”, southern Mozambique.
The communiqué from the 19th ordinary session of that body, held today in Maputo, states that the extension of this concession will “allow the implementation of new infrastructures and connect the existing facilities” of MGC “to receive volumes of Liquefied Natural Gas (LNG), regasified by the Beluluane Gas Company (BGC).
On the other hand, it will “allow new investments estimated at $300 million [almost €280 million], starting in 2024,” the statement reads.
Matola Gas Company, founded in 2004 on the outskirts of Maputo, presents itself as a Mozambican company “dedicated to the transport, distribution and commercialisation of natural gas produced in Mozambique”, operating a pipeline of around 100 kilometres with a capacity of eight million gigajoules of natural gas per year.
READ: TotalEnergies targets FID on Matola LNG by Sept 2024
The pipeline concessioned to MGC starts in Ressano Garcia, where it is connected to the main pipeline from the Pande and Temane exploration fields to South Africa, with a compression station 75 kilometres later in the Malhampsene area.
The gas is currently supplied to Mozal’s aluminium factory, one of the country’s largest industries, Cimentos de Moçambique cement factory and 18 other companies located in Machava and Matola (Maputo province), “which have opted to use cleaner and more efficient local energy in their production processes instead of other imported fuels”, explains the company.
MGC was formed by national capital, through Empresa Nacional de Hidrocarbonetos (ENH) and private investors, and by foreign capital, through South Africa’s Gigajoule International.
READ: Mozambique: New power supply contract priority for Mozal
Mozambique: South Africa to buy electricity from Matola gas-to-power project – AIM
Gigajoule and Total sign Joint Development Agreement for the importation of LNG and power generation
Leave a Reply
Be the First to Comment!
You must be logged in to post a comment.
You must be logged in to post a comment.