South African petrochemical company Sasol has announced a reduction in natural gas production at its central processing plant in Temane, in Mozambique’s Inhambane province, due to the instability caused by the post-election protests. The measure was taken to ensure the safety of workers, assets and gas transport infrastructure, according to a statement issued by the company, as reported by CNBC AFRICA.
‘We have informed gas users and our customers that it will not be possible to maintain supply at normal production rates. This decision is aimed at ensuring the stability of the transport infrastructure and pipeline network,’ explained Alex Anderson, a spokesman for Sasol.
Much of the natural gas produced in Temane is transported to South Africa via the Rompco pipeline, which links the Mozambican gas fields to Sasol’s industrial complex in Secunda, Mpumalanga province, before being distributed to customers in the Gauteng and KwaZulu-Natal regions. The reduction in production could temporarily affect industrial users and other consumers.
Mozambique has faced a wave of instability since the general elections in October, the results of which were strongly contested by the opposition. On Monday (23), the Constitutional Council confirmed the victory of Daniel Chapo, of the Mozambican Liberation Front (Frelimo), as Mozambican President, with 65.17 per cent of the votes.
Protests intensified after the announcement, resulting in barricades, looting and clashes between demonstrators and security forces. On Tuesday (24), at least 21 people lost their lives in violent incidents, a figure that rose to 33 on Wednesday (25), including deaths during a riot at Maputo’s central jail.
In addition to Sasol, other international companies operating in Mozambique, such as Australia’s South32, have also faced difficulties in their operations due to insecurity. The main border post with South Africa was temporarily closed, affecting transport and trade.
Despite the violence, Sasol reported that there were no security breaches on the perimeter of the Temane plant and that the situation in the area remains calm. The company also assured that operations to other destinations in Mozambique, such as Beira and Vilanculos, were not affected.
Sasol reaffirmed that the safety of its workers, service providers and neighbouring communities is its top priority, and will continue to monitor the situation and adjust operations as necessary to ensure the integrity of the infrastructure and the well-being of all involved.
This scenario reflects the impacts of political instability on the Mozambican economy, affecting not only the domestic market, but also regional supply chains that depend on the country’s natural gas. Sasol expects to resume normal production levels as soon as security is fully restored.
