South Africa: Gas development goes ahead

GAS RESERVES off Mossel Bay, east of Cape Town, are to be developed to supply feedstock for the existing gas-to-liquids (GTL) plant at Mossel Bay, subject to approvals expected by end-October. Go-ahead for the South Coast gas development follows from an agreement on terms for the sale of the gas to the state-owned facility, securing its future after the present sources – the offshore F-A and E-M fields – become depleted. The South Coast project will be implemented by a 55:45 venture between Petroleum Oil and Gas Corporation of South Africa (PetroSA, operator), a subsidiary of the state's Central Energy Fund, and US firm Pioneer. The GTL facility, known as Mossgas when it was brought on strea