The Zululand Energy Terminal (ZET) has entered into a Heads of Agreement (HoA) with ExxonMobil South Africa LNG, an affiliate of ExxonMobil, for the development of South Africa’s first LNG import terminal (ZET announcement, 17/06/2026). Developed as a joint venture between Vopak Terminal Durban and Transnet Pipelines, the Zululand Energy Terminal is set to become the country’s first LNG import facility, providing infrastructure for the importation, storage, regasification, and distribution of LNG to both the power generation sector and industrial consumers.
According to the statement, “South Africa is expected to face a significant gas supply shortfall by 2030, as existing supply from Mozambique’s Pande-Temane fields declines. This “gas cliff” presents a risk to power generation, industrial activity, employment and economic growth, reinforcing the need for new gas supply options and enabling infrastructure”. The proposed terminal is intended to supply natural gas to both the electricity generation industry and industrial users.
In early June, Eskom, South Africa’s national power utility, signed a Heads of Agreement with ZET to establish a long-term strategic partnership. The agreement will provide Eskom with open access to ZET’s future LNG infrastructure and support the utility’s planned 3,000 MW gas-to-power programme in Richards Bay (KEI, 09/06/2026).
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