Renergen was listed on Johannesburg’s AltX securities exchange in June 2015 as South Africa’s first listed alternative and renewable energy company.
Renergen’s principal asset is its 90% shareholding in Tetra4, which holds the first and only onshore petroleum production right in South Africa, giving it first mover advantage on distribution of domestic natural gas. The production right was issued by the DMR and is valid for 23 years. Tetra4’s Virginia Gas Project is located in the Free State, approximately 250 km southwest of Johannesburg.
Following the DMR’s award on 29 September 2017 of an Environmental Authorisation to construct all mid-stream and downstream facilities, Tetra4 has met all regulatory deliverables and contractual award of the New Plant is expected by June 2019, followed by completion and commissioning within 21 months. Tetra4 intends to decommission the compression station and begin exclusively producing LNG and liquid helium once the New Plant is operational.
Tetra4’s natural gas offers a less carbon-intensive substitute for South Africa’s existing transport fuel, thermal fuel and power.
The gas fields are situated in an energy scarce area, with high customer density and limited competition. The natural gas resource contains one of the richest Helium concentrations recorded globally.
It is anticipated that RLT will list on the ASX on 31 May 2019.