PetroSA proposes new offshore facility

source: News24
Melanie Gosling
January 30 2009 at 09:00AM

PetroSA, which will run out of local gas supplies by 2010, plans to import liquified natural gas (LNG) and pipe it onshore to avoid having to close down its Mossel Bay refinery.

The state-owned company has said that, if South Africa’s dwindling offshore gas supplies forced it to close, it would have a serious impact on the economy of the Mossel Bay region and result in the loss of about 1 800 jobs.

The company proposes to build a floating liquified natural gas facility offshore to process the imported supplies, and then pipe it onshore to the refinery.

It is looking at several locations, but the preferred option is to use the existing pipeline at Vleesbaai, a relatively undeveloped southern Cape bay near Mossel Bay.

The proposal has alarmed residents of [continue reading]

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