• Mozambique ships first locally produced LPG from Inhassoro plant,

• Sasol-operated facility to supply 30,000 tons/year, covering 64% of demand

• Project part of $1B gas complex also powering 450 MW Temane plant
  

Mozambique has reached an industrial milestone with the first commercial shipment of locally produced liquefied petroleum gas (LPG) for the domestic market. The bulk shipment originated from the Inhassoro processing plant in Inhambane province.

Reported by local media on Tuesday, November 11, the operation marks Mozambique’s official entry into domestic LPG production and distribution, a sector that until now relied almost entirely on imports.

The inaugural cargo came from facilities operated by South Africa’s Sasol, the operator of the $1 billion Inhassoro and Govuro gas project developed under a production sharing agreement with the Mozambican state. The integrated processing unit installed at the site is designed to produce up to 30,000 tons of LPG annually.

The complex is part of a broader energy project that also produces nearly 4,000 barrels of light oil per day and 23 petajoules of natural gas annually, equivalent to around 6.4 TWh. Most of this gas will supply the 450 MW Temane power plant, which is set to become the country’s second-largest power facility.

Local LPG production is expected to reduce Mozambique’s dependence on imports. In 2023, the country imported 48,636 tons of propane valued at $35.7 million, compared with an estimated domestic demand of about 47,000 tons, according to World Bank data based on COMTRADE.

With an annual capacity of 30,000 tons, the Inhassoro plant could meet about 64% of national LPG demand, aligning with the government’s target of cutting cooking gas imports by roughly 70%. This production capacity now serves as a national benchmark for Mozambique’s LPG industry, providing a baseline for monitoring future import and output trends.

Abdel-Latif Boureima