Mozambique’s gas seen as possible solution to S.Africa’s Energy Crisis

Pretoria, Dec 26 (Prensa Latina) Authorities of the South Africa”s Energy Department and private-sector businessmen are seeking call options in Mozambique to solve its domestic electricity crisis, reported AFK Insider journal, specialized in African economic issues. According to the source, a negotiation is underway for the joint development and construction of a gas pipeline of nearly 2,000 miles that would connect Rovuma basin in Mozambique, with several South African towns. The agreement is being discussed by the Johannesburg-based SacOil, State Public Investment Corporation of South Africa and Igepe Mozambique public company.

In the long term, the plan is that other members of the Southern African Development Community also receive the benefit from the neighboring country’s breakthroughs related to offshore gas that experts in Maputo have estimated at 150 trillion cubic feet.

After Igepe, the Anadarko companies (based in Texas, USA) and the Italian Eni SPA play a leading role in the regional gas market with total potential expected to reach full activity in 2018.

The largest South African energy company, Eskom, warned last week of the possibility of new power cuts in several regions of the country due to shutdown of three power stations.

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