Two major construction companies have been contracted for the construction of the Sunrise Liquefied Petroleum Gas (LPG) Import Terminal in Saldanha. In a recent press release Pieter Coetzee, CEO of Sunrise Energy, said construction of the LPG import terminal is now proceeding in all earnest.
Major construction companies Clough Murray & Roberts (CMR) and WBHO were awarded contracts in February for the construction of the facilities. CMR will be responsible for the marine infrastructure, including the multi-buoy mooring point (MBM) for ship offloading and the transfer pipeline (both subsea and overland) to the onshore terminal. WBHO on the other hand are responsible for the complete onshore terminal, which incorporates the pre-fabricated LPG storage bullets, the road-loading dispatch facilities, the control and operations buildings and all utility stations and ancillary systems.
Coetzee said the project is on track for LPG to be brought to market by 2017, “which will alleviate the projected severe gas shortages that the Western Cape has been experiencing, particularly in the colder months”. The LPG terminal is an open-access facility – it can be utilised by any gas importer, distributor or downstream user to import LPG. The majority shareholder in Sunrise Energy is MOGS, whose shareholder is Royal Bafokeng Holdings.
Sunrise Energy has recently been awarded its operating licence by the National Energy Regulator (NERSA). This follows on the construction licence that was awarded to Sunrise Energy in 2013. In February 2016, Sunrise’s maximum regulated pipeline and storage tariffs were also approved by NRSA, which was the final requirement for Sunrise to proceed with placing its two major construction contracts.
In parallel, Johannesburg-based firm Efficient Engineering is on track to complete the fabrication of the 5 LPG storage bullets, which will be transported to site during May this year. The bullets, at 1 100 mt each, are the largest LPG pressure vessels in the Southern Hemisphere and Africa. This contract was previously held by Durban-based firm Elgin Engineering, but they went into business rescue last year.
The project suffered various delays. Last year the National Ports Regulator’s, following an complaint by rival LPG import company Avedia Energy, decided to set aside its concession with Sunrise Energy to build and operate a liquid petroleum gas (LPG) import and storage facility at the port of Saldanha. Sunrise Energy lodged and won their appeal in the Durban High Court in November with costs to rival company Avedia Energy.
