Natural Gas Production
Natural Gas is the oil which under normal atmospheric conditions is found in the gaseous state, as well as unconventional gas, including methane gas, associated with coal and bituminous shale gas. Natural gas is produced in Mozambique at the Pande/Temane fields, located in the Mozambique Basin, and in 2004 Temane Field production began and in 2009 the Pande field was coupled to the system. The cumulative gas produced until October 2020 was 58,679,066,717.7 Nm3, corresponding to 2,433,030,638.7 (Chart 1).
The natural gas produced is processed at the Gas Processing Plant located in Temane, Inhambane Province, and about 80% of this gas is exported to South Africa and the remainder sold in the domestic market.
Condensate derived from gas production is stabilized in the processing plant, stored and subsequently sold. From the beginning of production until October 2020, a total of 7,550,796.23 bbls (barrels) were produced.
Production Tax (IPP)
Gas royality is the Petroleum Production Tax (IPP) to be paid to the Government by the concessionaire. For the Oil Production Contract, pertaining to Pande and Temane fields, it corresponds to 5% of the gas produced and sold, and can be paid in kind or in cash.
The chart below shows the amounts of gas royalty delivered to the government (115,991,606.81 GJ) from the beginning of production to October 2020.