The petrochemical company, Sasol, has announced the latest progress on its on-going asset disposal programme.

The company will sell its stake in the 865-km ROMPCO natural gas pipeline in Mozambique. The pipeline runs from the Pande and Temane onshore fields in Mozambique to Secunda in South Africa, and the company is said to be expecting bids through the end of July.

The South African government is said to be one of the potential bidders as it owns a 25% stake through the iGas unit.

Sasol is also expected to auction its stake in a Mozambican power plant. The company holds a 49% interest in the 175-MW Central Termica de Ressano Garcia (CTRG) power plant.

South Africa’s Nedbank is handling the sale of the gas pipeline while Deloitte is the company tasked with the job of the sale of the power plant, both in Mozambique.

The company also announced on Wednesday that it will sell its indirect interest in the Escravos gas-to-liquids (EGTL) plant in Nigeria to Chevron.

Although the detailed conditions of the sale were not disclosed and Sasol will be released from its obligations including the associated companies guarantees, the company said it will continue to support Chevron in the performance of the EGTL plant through ongoing catalyst supply, technology and technical support.

It said it has concluded the transaction to sell a 51% share in its Explosives Partnership with Enaex South Africa to Enaex, and effective from 1 July 2020, both companies will officially begin operations in South Africa and other African countries.

The asset disposal programme by Sasol could see the company sell almost $2 billion in assets to pay its debt after it declared in March that the low oil prices due to the pandemic and the deadline the company has to meet.

The South African petrochemical giant recently stated it would not be divesting its downstream business in South Africa. The company accounts for 11% of the regulated retail market in the country with 410 fuel stations in South Africa.