Zululand Energy Terminal has signed a heads of agreement with ExxonMobil South Africa LNG. The deal establishes the company as a second anchor tenant for the project alongside Eskom.
Zululand Energy Terminal boss Oliver Naidu announced the agreement three months after first discussing the project at the Africa Energy Indaba 2026. The heads of agreement satisfies a key commercial requirement for the LNG storage and transfer facility in Richards Bay.
Naidu said the terminal would need to complete a Front-End Engineering and Design study before a final investment decision by late 2027 or early 2028. He stated that the project should be ready by the 2030 gas cliff with some commissioning time.
Eskom group CEO Dan Marokane said securing foundation customer status provides a critical enabler for the utility's 3,000MW gas programme. The project unlocks a R35-million investment in skills development and targets 40 percent local participation during construction.
