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Pande Gas Pipeline, Mozambique

pande-gasMembers of Endeavor’s senior management team were integrally involved in the development of the $721 million, 865 km pipeline to bring natural gas from Mozambique to South Africa which was sold to Sasol.  The project achieved commercial operations in 2004.

The Southern Africa Regional Gas Project was a Mozambique-South Africa natural gas development and pipeline project.  The project is comprised of two individual but fully integrated sub-projects.  Firstly, the development of the Pande and Temane gas field in Mozambique and the construction of a central processing facility, and secondly, the construction of the 865km pipeline to transport natural gas to Sasol’s Secunda plant in Mpumulanga, South Africa.  The gas fields at Temane and Pande have a proven reserve capacity of 2.6 Tcf.  The proven reserves are sufficient to supply the pipeline for a minimum of 25 years from first gas.

The second component of the upstream projects is the central processing facility.  Here, gas from the fields is cleaned and compressed before delivery to the inlet flange of the pipeline.  The central processing facility is situated approximately 600km north of Maputo.  The gas is then transported along an 865km route through a 660mm high-pressure steel transmission pipeline to Sasol’s petrochemical complex at Secunda.  The gas pipeline is buried at a depth of 1 meter and has an initial uncompressed capacity of 120MGJ per annum.  The pipeline however has been designed to allow gas flow to be doubled with the installation of mid and quarter point compression.  A length of 531km of the gas pipeline is located in Mozambique and 334km is located in South Africa.

The Mozambican gas is imported to South Africa by Sasol, the Project’s private sponsor to: (i) replace the hydrogen-rich gas produced from coal by natural gas; (ii) convert Sasol’s Sasolburg chemical complex from coal to gas as feedstock for chemical production; and (iii) modification of Sasol’s synthetic fuel plant in Secunda to augment coal-based growth in the production of petroleum and petrochemicals.