- Sasol has announced major progress in developing a Methane Rich Gas (MRG) supply solution designed to maintain gas supply to South African customers beyond June 2028, when production from Mozambique’s natural gas fields is expected to decline. Read more
The company confirmed that it has completed a technical assessment demonstrating the feasibility of supplying MRG from its Secunda operations to external customers for a limited period between July 2028 and June 2030. The initiative is intended to serve as a temporary bridge while South Africa transitions to Liquefied Natural Gas (LNG) as a long-term energy source.
“Sasol remains committed to supporting the South African industrial gas market,” said Dumisani Bengu, Senior Vice President for Marketing & Sales Energy at Sasol Gas. “The MRG solution provides a critical supply bridge while LNG infrastructure is being developed, and we are engaging customers to ensure alignment on this approach.”
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The implementation of the MRG supply plan is subject to regulatory approval from the National Energy Regulator of South Africa (NERSA). Sasol has applied for approval of its Maximum Gas Price (MGP), which will reflect the cost of acquiring MRG from Sasol South Africa and will be determined according to NERSA’s pricing methodology. The company said it is working closely with the regulator to ensure a transparent process that balances economic sustainability for both the producer and the trader.
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Sasol is currently consulting with industrial customers to assess infrastructure readiness, confirm demand volumes, and evaluate potential modifications needed to enable the supply of MRG. These discussions will inform Sasol’s final investment decision (FID) on the project.
Meanwhile, Sasol continues to progress its LNG strategy, evaluating multiple terminal options to meet future gas demand across both inland and coastal markets.
The MRG initiative, Sasol said, underscores its broader commitment to energy security and a managed transition toward cleaner, more sustainable energy sources for South Africa.
Author: Bryan Groenendaal
