Construction works on the 450MW Temane gas and power project in Mozambique has begun. The country’s President Filipe Nyusi ceremonially laid the first stone to mark the start of the project.
The project located in Inhassoro, Inhambane Province, involves construction of Temane-Maputo power line, and an LPG plant. Supply for the power and LPG facilities will come from the PSA project and involves an investment of US $760 million from Sasol.
The project upon completion will provide 30,000 tonnes per year of LPG, accounting for more than 70% of local demand and reducing the need for imports. Gas will go to the 450 MW Temane power plant. The PSA will also produce 4,000 barrels per day of light oil. PSA will start producing in 2024. Power supplies are expected in 2025.
Potential customers
Sasol Petroleum Mozambique is the operator of the PSA. It covers three fields: Inhassoro, Pande and Temane. Work includes development wells and a processing facility. The Instituto Nacional de Petróleo (INP) has reported the PSA discoveries have gas in place volumes of around 2.5-3 trillion cubic feet, with recoverable volumes of 1-1.5 tcf. Sasol has also discovered 30-40 million barrels of liquids.
The Temane power plant will supply power to Electricidade de Moçambique (EDM) under a 25-year contract. Sasol and Globeleq closed the financing for the project in December 2021. EDM has been in discussions with a number of potential customers. These include Zimbabwe Electricity Supply Authority (ZESA). EDM has raised the possibility of increasing power exports to Zimbabwe from January 2025, when CTT starts up. The Mozambique company has also discussed supplies from CTT to Eswatini and South Africa’s Eskom.
