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Mozambique Eyes $250 Million Gas Infrastructure to Replace Sasol Supply

Mozambique is courting South African energy giant Sasol and pipeline operator ROMPCO for a $250 million investment in offshore gas infrastructure. The project, centered on floating storage and regasification units, aims to secure long-term energy flows to South Africa as existing onshore fields face depletion within the next few years.

Mozambique Eyes $250 Million Gas Infrastructure to Replace Sasol Supply

Rudêncio Morais, head of the national oil company Empresa Nacional de Hidrocarbonetos, confirmed that the government intends to install regasification units at the coastal town of Inhassoro and the port of Beira. This initiative is designed to position Mozambique as a regional power hub by 2031, aligning with the operational timelines of massive LNG projects led by ExxonMobil, TotalEnergies, and Eni in the Rovuma Basin.

The strategy addresses a looming supply gap, as current gas exports from Sasol-operated onshore fields are nearing their end. To facilitate this expansion, the government recently granted a 30-year concession to its state-owned firms to build and operate the necessary storage and transport networks. Beyond securing exports to South Africa, officials emphasize that this infrastructure is vital for domestic industrialization, ensuring a steady share of natural gas remains within the country.

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