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Distribution News South Africa

TNPA, IDC call for proposals for the Liquefied Natural Gas (LNG) terminal at the Port of Ngqura

Transnet National Ports Authority (TNPA), in collaboration with Infrastructure South Africa (ISA) and the Industrial Development Corporation (IDC), has approached the market for an Environmental Impact Assessment (EIA), encouraging interested parties to submit proposals for the envisaged Liquefied Natural Gas (LNG) terminal at the Port of Ngqura.
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The Request For Proposals (RFP) process will see the appointment of a service provider contracted to assess the environmental compliance and sustainability of the proposed LNG terminal.

This involves conducting a detailed analysis of ecological and local regulations to determine critical environmental authorisations. These include a seismic survey, marine ecology, climate change impact assessment and socio-economic assessment to support the project.

The EIA process is carried out in tandem with negotiations of the Terminal Operator Agreement (TOA) between TNPA and Strategic Fuel Fund (SFF), to build and operate an onshore LNG regasification facility at the Port of Ngqura for 30 years.

The appointment of SFF is the outcome of a Section 79 process and directive issued by the former Minister of Transport, following the National Ports Act of 2005.

“This milestone is a critical step towards the development of the LNG terminal at the Port of Ngqura. Through its commercial seaports, TNPA is at the forefront of enabling the gas-to-power project pipeline whilst ensuring the security of supply and unlocking global opportunities for sustainable impact,” said acting TNPA chief executive, Phyllis Difeto.

The Port of Ngqura LNG Terminal is one of 12 priority infrastructure projects announced in March 2024 that hold a Strategic Integrated Project (SIP) status.

The triad strategic partnership is fast-tracking the conclusion of the EAI, with the RFP closing on 30 October 2024. This partnership will also see the issuing of the RFP for Prefeasibility Studies by the end of September 2024.

Mameetse Masemola, the acting head of Infrastructure South Africa, supported TNPA’s sentiment by saying: “ISA is established to provide strategic, technical and financial advisory support to project sponsors for the planning, preparation, development and implementation of national pipeline projects and strategic integrated projects. This project is one of the flagship projects which we are proud to support and excited that progress is moving at pace.”

Tender documents can be accessed on https://www.idc.co.za/tenders/ and https://www.etenders.gov.za/

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