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Transnet to Undertake Ambitious Pipeline Project

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Transnet to Undertake Ambitious Pipeline Project

(3 Minutes Read)

The pipeline will not only supply Secunda but also Durban. According to Transnet, the initiative is part of a broader strategy to develop midstream infrastructure that would enable South Africa to import LNG and support the country’s energy transition from traditional fuels to cleaner alternatives.

Transnet has announced plans for an ambitious pipeline project to secure the country’s future gas supply, which will see the repurposing of its existing Lilly Pipeline to transport liquified natural gas (LNG) from the Richards Bay Port in northern KwaZulu-Natal to inland markets.

This comes as the energy transition accelerates and local gas sources begin to dwindle. The announcement was made by Transnet Pipelines CEO Sibongiseni Khathi at the AOW Investing in African Energy event held in Cape Town. However, he did not indicate the cost of repurposing the line.

The pipeline will not only supply Secunda but also Durban. According to Transnet, the initiative is part of a broader strategy to develop midstream infrastructure that would enable South Africa to import LNG and support the country’s energy transition from traditional fuels to cleaner alternatives.

The Lilly Pipeline, which currently transports approximately 500 million cubic meters of methane-rich gas (MRG) annually from the Sasol plant in Secunda to Richards Bay, will have its flow reversed to transport LNG inland, according to Transnet Pipelines.

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 This development comes as South Africa’s reliance on traditional gas supplies faces a “gas cliff” with the expected depletion of the Pande-Temane fields in Mozambique.