A ten-month programme investigating the viability of using clean-burning methane – in the form of compressed natural gas (CNG) and compressed biogas (CBG) – to power passenger vehicles inSouth Africa, has shown that the conversion of petrol- or diesel-powered minibus taxis and urban buses to a dual- or bi-fuel system is economically viable and can offer significant cost savings.

Bi-fuel vehicles are able to run on diesel fuel or natural gas, while dual-fuel vehicles are able to run on diesel fuel and gas simultaneously.

The real-world fleet trial, funded by the Industrial Development Corporation and conducted by automotive development and research firm Cape Advanced Engineering (CAE), saw eightGauteng-based minibus taxis converted to a bi-fuel system and one bus converted to a dual-fuel system.

Once converted, the vehicles were refuelled by three commercial filling stations, two provided pipeline CNG and the third a blend ofCBG and pipeline CNG.

The study investigated fuel consumption, vehicle operating costs,oil analysis and the financial viability of vehicle conversion to a dual- or bi-fuel system.

Read more.....

Independent power producer Ipsa has secured a £500 000 short-term loan from Radix International for the next six months at an interest rate of 1% a month.

This would provide working capital until the end of September, by which time the company would have completed the installation of two Jenbacher gas engines at its Newcastle cogeneration site, in KwaZulu-Natal.The engines, which were acquired at the end of 2013, would add 3.4 MW of the plant’s total envisaged capacity of 18 MW.

Ipsa also advised on Friday that it was progressing the transfer of two Siemens Westinghouse 701DU turbines to power plant developer Rurelec, subject to the sale and purchase agreement entered into on June 10, 2013.

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A joint prefeasibility study into a large-scale gas-to-liquids (GTL) plant, based on gas from the Rovuma basin in Northern Mozambique, has been launched amid growing excitement about theenergy potential that could flow as a result of large-scale gas discoveries in the country.

The study is being conducted by JSE-listed Sasol in conjunction with Mozambique’s national oilcompany, Empresa Nacional de Hidrocarbonetos and Italian energy group Eni.

Eni is the operator of the block called Area 4 in the deep waters of the Rovuma basin, which is estimated to hold up to 85-trillion cubic feet of gas. Sasol, meanwhile, already has significant gasinvestment in the Southern African country, but is also a GTL world leader, using a technology based on the Fischer–Tropsch process.

The prefeasibility will assess the viability and benefits of a GTL plant in the region, with Sasolhaving already deployed GTL technology in South Africa, Qatar and Nigeria.

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The South African government’s draft Gas Utilisation Master Plan (Gump) could be released for public comment in June, should the document receive sign-off during one of the early meetings of the new Cabinet, which was named by President Jacob Zuma on May 25.

The document will provide a framework for investment in gas-supporting infrastructure and outline the role that gas could conceivably play in the electricity, transport, domestic, commercial and industrial sectors.
Department of Energy (DoE) deputy director-general Ompi Aphane says government sees “massive upside potential” for gas, stressing that this potential is not confined to electricity generation.

However, there will be “line of sight” between the Gump and the Integrated Resource Plan (IRP) for electricity, which is currently being updated. The draft update, for instance, includes a “Big Gas” scenario that envisages 67 GW ofinstalled gas generation by 2050.

The Gump itself considers various supply options, including the importation of liquefied natural gas (LNG), as well as piped gas from Namibia andMozambique. It also explores the potential for domestic production of natural and shale gas, as well as coalbed methane.

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Natural gas reticulator Egoli Gas has formally initiated a network expansion on the west ofJohannesburg, which will enable cellular group MTN to increase its power generation capacity from 2 MW currently to over 10 MW during 2015 and lay the basis for further gas-network expansions into areas such as Randburg and Sandton.

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The South African Government in the form of the Department of Energy has recently released the updated version of the National Integrated Resource Plan (IRP 2010) for electricity generation.

In the IRP 2010 (update) review gas still plays the role of diversifying electricity generation, but depending on the nature of the possible shale gas exploration results this could blossom into a scenario of gas being a significant generator of electricity.

The National Development Plan also emphasise the importance of gas in the role of diversifying energy use in the country.

In many of the West African regions the next question is how to best harness natural gas to generate electricity locally and so contribute to the further industrialisation of each country.
East Africa has seen an exploration boom in offshore gas not witnessed for many a decade within Africa.
Mozambique has already announced plans to develop the first liquefaction train for LNG exports.

With all of these developments in mind the conference is well placed to allow for mutual exchange of ideas between participants and to allow for informed ideas which will influence each participant and their company.

Date: Tuesday 26th to Wednesday 27th August 2014
Venue: The Radisson Blu Gautrain Hotel, Sandton , Johannesburg, Gauteng

Exhibition Space: There are a limited quantity (16 in total) of 2 x 3 metre exhibition stands available. These will be sold on a strictly first come first served basis. For pricing and details, contact Bette McNaughton.

Conference Prices: Normal price is R6000 incl vat per delegate. APA members pay a reduced fee of R5500 incl VAT. BUT TO THE END OF MARCH ONLY: Early Bird price: R5000 incl VAT, per delegate for 2 days.
These prices include VAT and all refreshments and lunch on both days of the conference. To book click here!

Outline of Topics to be covered:
Time Slot 
Day 1 - Tuesday August 26th 2014 
09h00 – 10h30 
GAS DEVELOPMENTS & PROJECTS IN AFRICA
- Introduction to gas developments in Africa
- Gas Project ‘Hotspots’ in Sub-Saharan Africa  
10h30 – 11h00
Tea / Coffee / Refreshment Break
11h00 – 12h30 
- Gas Projects in Southern & East Africa
- Gas Projects in Central & West Africa 
12h30 – 14h00 
Refreshment Break & Lunch 
14h00 – 16h30 
GAS IN SOUTH AFRICA
- Gas scenario in South Africa
- Parameters for gas investments in South Africa
- Gas pipeline developments in South Africa
- Recent gas-related developments in South Africa  

Day 2 - Wednesday August 27th 2014  
09h00 – 10h30 
TECHNOLOGICAL INNOVATIONS
- Shale Gas – recent experiences
- Virtual Gas pipeline solutions
- Gas to Liquids – latest innovations
   - Louisiana Case Study 
10h30 – 10h45 
Tea / Coffee / Refreshment Break 
10h45 – 12h30 
TECHNOLOGICAL INNOVATIONS (cont)
- Gas to power
- Effective use of biogas
- Methane Gas
- Environmental Aspects Unconventional Gas Productions 
12h30 – 13h30 
Refreshment Break & Lunch 
13h30 – 15h00 
LEGAL, FINANCIAL & LOGISTICAL ASPECTS
- MDPR - Its Effects on gas exploration in Africa
- Legal implications of gas deals
- Modalities for financing gas projects in Africa
- LNG Pricing – future scenario
- Logistics for gas Projects 
15h00 – 15h15 
Tea / Coffee / Refreshment Break 
15h15 – 16h30 
CASE STUDIES
- Various current and relevant project, their problem and solutions 

Japan is to fund the $174-million construction of new gas-fired power plant in Mozambique to help the Southern African nation's fast-growing economy keep up with electricity demand, the national power utility said this week.

Mozambique has seen a spike in foreign investment since it hit on huge gas reserves, but power shortages threaten the development of industry and economic growth.

Power demand, which is at about 800 MW at peak times, already outstrips supply of around 700 megawatts in the former Portuguese colony, whose economy is expected to grow by 14% this year.

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Afeasibility study is currently under way for the construction of a $5-billion 2 600 km natural gas pipeline that could connect significant natural gas discoveries in northern Mozambique to benefitgas-to-power markets in Southern Africa.

Having concluded a prefeasibility study in December last year, clean energy project developerGigajoule International presented its findings to the Mozambique government in January, after which a memorandum of understanding (MoU) was signed in April with Mozambique State-ownedoil and gas company Empresa Nacional de Hidrocarbonetos (ENH).

The MoU laid the foundation for a joint study to examine the feasibility of the pipeline, dubbed Gasoduto do Norte ao Sul de Moçambique, or Gasnosu, that could run from Cabo Delgado toMaputo and to regional markets further south, possibly including Richards Bay, in South Africa.

Prior to that, Gigajoule spent 18 months evaluating the economic and technical feasibility of a project aimed at supplying liquefied natural gas (LNG) to major gas markets in Mozambique.

Subsequently, several Mozambique stakeholders requested Gigajoule to study the feasibility of alarge-diameter north-to-south gas pipeline that could link more markets than an LNG project would.

 Read more....

 Rob Davies, South Africa’s trade and industry minister says the country may start exploration for shale gas before the country’s national elections in April 2014. "We need to advance the work on taking a decision on shale gas exploration. We want to move before the end of this administration."

The current government's term ends next April. Africa's largest economy, heavily reliant on coal, is mulling nuclear power and shale gas as new energy sources. The country's semi-desert Karoo region potentially has one of the world's largest untapped shale fields.

The reserves are perhaps even larger than those of its neighbour Mozambique, Davies says. “The gas fields of Mozambique which have just opened have about a hundred trillion cubic metres of gas, and the shale gas deposit − some of the estimates would suggest that it is multiples of the Mozambican resource. If this is the case, it could be a very, very significant game changer in terms of the energy situation in South Africa."

If the estimates are accurate South Africa could have gas equal to 400 years of crude oil imports at the current rate, according to a study released last year and commissioned by Shell.

In September 2012 South Africa lifted a moratorium on shale gas exploration in the Karoo. This resulted in concerns among environmental activists about the effect on water quality in the arid region.

Davies says, "of course we are not going to do this in any kind of irresponsible way."

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