PetroSA's Project Ikhwezi gets green light

Bua News reports that national oil company PetroSA has received environmental authorisation for Project Ikhwezi - PetroSA's refinery project in Coega in the Eastern Cape, which is aimed at sustaining the life of the Mossel Bay gas-to-liquid refinery. PetroSA announced that it received the news of the environmental impact assessment (EIA) from the Department of Environmental Affairs this month.

PetroSA head of Corporate Affairs and Shared Services, Kaizer Nyatsumba, told Bua News that the granting of the environmental authorisation was an important milestone for the project. Earlier this year the company's board of directors took a decision to embark on the project which, as Engineering News reported in October, entails the building a 400 000 barrels-per-day refinery at the industrial port of Coega, (and is) meant to replace old and ageing plants and reduce the country's reliance on imports.

Engineering News reported further that the project, expected to cost around $9 to 10 billion dollars, has faced delays in the past due to financial woes. PetroSA said it had intensified talks with various parties in the petroleum sector which has strengthened the business case for the refinery. PetroSA expects first gas production off the F-O field to start in 2013, and help sustain the life of its 45 000 bpd Mossel Bay gas-to-liquids refinery.

Read the full article on www.buanews.gov.za.
Read the full article on www.engineeringnews.co.za.