Energy & Science
South Africa’s No. 1 Fuel Producer Drops Gas Pipeline Plan
- Company plans replacing 25% of coal mainly with natural gas
- Expects to sign term sheet for LNG imports from Maputo
This article is for subscribers only.
Sasol Ltd. will no longer consider gas supply from a planned pipeline stretching from fields in northern Mozambique to its South African operations because it doesn’t want to get stuck with the infrastructure as the world shifts away from fossil fuels, Chief Executive Officer Fleetwood Grobler said.
The company, South Africa’s biggest fuel producer, in 2020 said it would potentially buy a small stake in the proposed 2,600-kilometer (1,616-mile) African Renaissance Pipeline -- valued at $6 billion in 2016 -- connecting to discoveries made by TotalEnergies SE and Eni SpA. TotalEnergies last year suspended the development of its find due to an Islamist insurgency.