Transnet gets IFC support for South African LNG project study
The IFC has committed $2 million to aid freight logistics firm Transnet to conclude a feasibility study for the development of an LNG storage and regasification terminal in Port of Richards Bay, South Africa. Transnet has identified significant industrial demand for natural gas and opportunities to leverage its ports, pipelines and rail assets to facilitate private investment. The Richards Bay Natural Gas Network (NGN) project includes the LNG storage and regasification terminal in Port of Richards Bay, plans to repurpose Transnet’s Lily Pipeline and Durban-Johannesburg Pipeline for the transmission of natural gas, and the establishment of rail and road LNG transportation.
The LNG terminal will be developed by private investors who will be selected to own a majority stake in a planned SPV through a competitive process. It is expected that the facilities will be operational by 2024.
