Register with us today

and in less than 60 seconds continue your access to:Latest news headlinesAnalytical topics and featuresCommodities videos, podcast & blogsSample market prices & dataSpecial reportsSubscriber notes & daily commodity email alerts

Already have an account?

Log in to register

Forgot Password

Please Note: Platts Market Center subscribers can only reset passwords via the Platts Market Center

Enter your Email ID below and we will send you an email with your password.

  • Email Address* Please enter email address.

If you are a premium subscriber, we are unable to send you your password for security reasons. Please contact the Client Services team.

If you are a Platts Market Center subscriber, to reset your password go to the Platts Market Center to reset your password.

In this list
LNG | Natural Gas

South Africa's Sasol abandons exploration blocks offshore Mozambique

Commodities | Energy | Electric Power | Renewables | Natural Gas

Hydrogen: Beyond the Hype

LNG | Natural Gas | NGL

Platts LNG Alert

Electric Power | Renewables | LNG | Infrastructure Utilities

Caribbean Energy Conference, 21st

Natural Gas | Oil | Crude Oil | Metals

Uganda's EITI membership set to boost investment climate ahead of first oil

South Africa's Sasol abandons exploration blocks offshore Mozambique


Sasol to relinquish blocks 16, 19 to state

Latest setback for country's gas industry

Three major LNG projects under development

London — South Africa's Sasol said July 6 it has decided to relinquish two licenses offshore Mozambique to the government in a new setback for the southeast African country's upstream sector.

Not registered?

Receive daily email alerts, subscriber notes & personalize your experience.

Register Now

Sasol held licenses for offshore blocks 16 and 19 since 2005, but has now opted to hand back the licenses.

"Following an evaluation of the exploration potential of the blocks and an assessment of the report of the pre-feasibility phase of the Environmental Impact Assessment, Sasol has decided to relinquish its exploration license in Blocks 16 and 19 offshore Mozambique," it said.

Sasol carried out some deepwater exploration activities in the license areas, but relinquished the deepwater part of the license in 2013.

It kept the shallow water area of the license with a view to assessing the remaining hydrocarbon potential.

"Sasol will relinquish Blocks 16 and 19 in their entirety to the government of Mozambique and a withdrawal notification has been issued to the relevant Mozambican authorities," it said.

Sasol remains a key player in Mozambique with a stake in Eni's A5-A offshore block.

It also processes gas from the Pande and Temane gas fields at its Central Processing Facility and transports the gas to markets in Mozambique and South Africa.

Mozambique is best known for its huge offshore gas discoveries, which are set to transform the country into a major LNG exporter.

Over 30 million mt/year of LNG production capacity is in development, but the industry is under threat from an increasing Islamist insurgency, very low LNG prices and swingeing cuts in company spending.

ExxonMobil has said it is delaying final investment decision on the 15.2 million mt/year Rovuma LNG project, the biggest of three LNG projects under development in Mozambique.

It had been expected to begin operations in 2025, though that start date is now almost certain to be pushed back.

The two others are the Total-operated, 12.9 million mt/year capacity Mozambique LNG project -- expected to start up in 2024 -- and the Eni-operated, 3.4 million mt/year capacity floating Coral LNG project.

First LNG at Coral is expected in 2022.