Transnet invites expressions of interest for repurposed Lilly gas pipeline
State-owned Transnet’s Pipelines division has invited expressions of interest (EOI) for a strategic project to transition the Lilly gas pipeline from transporting methane-rich gas (MRG) to regasified liquefied natural gas (LNG).
The project aligns with Transnet’s commitment to bolster South Africa’s gas infrastructure and support growing demand for natural gas in the country.
The Lilly pipeline currently transports about 500-mllion cubic metres a year of MRG from Secunda to Durban with key offtake points along the route.
The project will involve the construction of an intake station near Empangeni to connect with the Zululand Energy Terminal as the source point at the Port of Richards Bay.
It will also involve splitting the flow at Empangeni to allow for bi-directional flow towards Durban and Secunda.
Additionally, Transnet seeks to appoint a contractor to debottleneck and model the pipeline for maximum future capacity to meet market demand and secure commercial agreements.
Transnet Pipelines says the Lilly pipeline has the potential to supply the KwaZulu-Natal, Mpumalanga and Gauteng gas markets once flow is reversed from Empangeni to Secunda.
The EOI process will help Transnet Pipelines assess market interest and demand, which will inform the prefeasibility study and future request for proposal processes.
Interested parties have until 17:00 on August 30 to submit responses.
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