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    Reuters: Saldanha Bay Could Get South Africa's First LNG Import Terminal

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Summary

South Africa could build its first 20 billion rand ($1.4 billion) liquefied natural gas (LNG) import facility at the west coast port of Saldanha Bay.

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Reuters: Saldanha Bay Could Get South Africa's First LNG Import Terminal

South Africa could build its first 20 billion rand ($1.4 billion) liquefied natural gas (LNG) import facility at the west coast port of Saldanha Bay to feed gas-to-power projects aimed at easing chronic supply shortages, an official said on Tuesday.

Importing LNG is among the options Africa's most developed economy is considering to diversify its energy sources away from coal and ease power shortfalls that have curbed growth.

Several companies, including Shell, Mitsubishi and Sasol, are expected to bid for 3,126 megawatt (MW) gas-to-power projects in the first quarter of 2016, when exact details will become known.

"Saldanha Bay ticks all the boxes," Fernel Abrahams, project manager for the LNG project at the Western Cape provincial government told Reuters.

"It makes economic sense, it will help improve energy security and all our studies around ocean conditions, demurrage and market growth show it is technically feasible to land gas here." MORE

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