The Mozambican government has extended a concession held by natural gas distributor Matola Gas Company (MGC) for a 100km gas pipeline linking the town of Ressano Garcia to Matola for 15 years.
The extension approval was made during a cabinet meeting on June 18 and is poised to facilitate new infrastructure development and connect the MGC’s existing facilities to receive volumes of liquefied natural gas regasified by energy supplier Beluluane Gas Company.
Work on the extension program is set to start this year and is expected to attract investments of up to $300 million over 15 years.
Gas for the pipeline is sourced from the Pande and Temane gas fields and currently supplies natural gas to 20 companies in Maputo province, including the Mozal aluminum smelter – the largest aluminum smelter in sub-Saharan Africa – and cement factory Cimentos de Moçambique.
