Renergen said it would consider social media comments and may take “appropriate next steps to protect the interests of all of its shareholders”.
The work would involve up to 300 new production wells, 480 km of gas transmission pipelines, three compressor stations and a new combined LNG and helium plant.
Phase 2 will cost $1.16 billion over the next three years, with the company aiming to reach commercial operations by 2026.
South Africa has joined the club of LNG producing states as Renergen has started up its production facility at the Virginia gas project.
Panoro Energy has taken a 100% stake in a South African licence, onshore in the Karoo Basin, citing gas – and helium – prospectivity.
Renergen has signed an initial agreement with US International Development Finance Corp. (DFC) for a loan of up to $500 million.
South Africa’s Central Energy Fund (CEF) is considering buying into Renergen’s Virginia gas project, paying 1 billion rand ($69 million) for a 10% stake.
Ivanhoe Mines is buying a minor stake in South Africa’s LNG and helium producer Renergen – with an option to scale up its involvement.
South Africa sees it as “imperative” to add more gas suppliers, in order to help develop the local sector.
Renergen’s P12 well has begun flowing gas, although at low levels, the company has reported.
South African Minister of Mineral Resources and Energy Gwede Mantashe has raised the prospect of gas discoveries in the Karoo.
Policies intended to tackle climate change are “closing doors on opportunities to allow poorer nations” to secure energy access, Renergen CEO Stefano Marani has said.
Renergen has signed up Saipem, EPCM Holdings and Sproule for the second phase of the Virginia gas project, in South Africa’s Free State.
South African Renergen has devised the Cryo-Vacc, which allows vaccines to be transported at extremely low temperatures for up to 30 days without power.
Renergen has signed a deal on the distribution of its LNG through Total South Africa Proprietary’s service stations.
Renergen’s Virginia project in South Africa has some of the hallmarks of a classic small-scale gas production plan, but with the added wrinkle of a shift to helium.
Renergen has appointed a Chinese company to carry out construction of a planned small-scale liquefaction plant in South Africa.