With its current asset disposal programme on, and as the deadline for the payment of its debt nears, South African Petrochemical giant looks to be making the headlines frequently with steps it is taking to manage the situation and the signs of progress made.
The company announced today that is has decided to relinquish its exploration license in Blocks 16 and 19 offshore Mozambique. The blocks 16 and 19 were awarded to Sasol in June 2005.
According to the release by Sasol, it noted that it has been conducting deep-water exploration activities in the areas that its license covers in a safe and environmentally responsible manner over the years.
The deep-water area of the license was relinquished exactly seven years ago on 1st of July 2013 with the shallow water area of the license retained to define a future work programme to assess the extent of the hydrocarbon potential of the area.
It says the relinquishment follows an evaluation of the exploration potential of the blocks and an assessment of the report of the pre-feasibility phase of the Environmental Impact Assessment (EIA).
We earlier reported that the company will be selling its stake in the 865-km ROMPCO natural gas pipeline in Mozambique
According to the company’s release: “Understanding and appreciating the environmental sensitivity of the area, Sasol undertook a robust and transparent pre-feasibility assessment through Golder & Associates, an independent, reputable environmental specialist consulting firm, prior to any exploration activity. This process involved consultation with all relevant stakeholders, from government, on all levels, industry, such as tourism and fisheries, to academia. “
It acknowledges the receipt of comments given during the pre-feasibility phase of the Assessment and appreciates the inputs that all stakeholders contributed. It says it has considered all of it and will be relinquishing all areas of the license of Blocks 16 and 19 to the Mozambican government.
The company said that a withdrawal notification has been officially issued to all the relevant Mozambican authorities.
In the statement, Sasol reiterated its commitment to complying with all environmental legislation and only undertaking exploration activities in an environmentally responsible manner.