Malawi explores for natural gases


Lilongwe – Australian Securities Exchange-listed energy group, NuEnergy Gas, has launched an airborne geophysical exploration for shale gas and coal bed methane (CBM) at its 346 square kilometre licence area in Chikhwawa district, in the lower Shire Valley area in southern Malawi.   NuEnergy Chairman, Graeme Robertson, says the geophysical survey is part of on-going geological studies at the site before exploratory drilling commences.

The studies would determine the depth and optimal drilling locations in the exploration area.

South African contractor New Resolution Geophysics is conducting the geophysical survey and independent geophysicists from UK-based consultancy, JMJ Petroleum, are doing quality control through daily verification of survey data.

Robertson says NuEnergy Gas plans to set up compressed natural gas and micro liquefied natural gas (LNG) plants in Malawi to enable efficient transportation of CBM and shale gas to distribution points for sale to industries and for use as fuel for motor vehicles and truck fleets.

“As Malawi has no indigenous source of liquid fuels, gas as a fuel for transport will have a ready and well supported market in terms of price and demand. As gas will be an alternative to expansive diesel, pricing is expected to be attractive which will be a benefit to the people of Malawi,” says Robertson. Malawi’s Vice President Khumbo Kachale, who inaugurated the airborne geophysical survey, hailed NuEnergy Gas for initiating the project, saying the project would create opportunities for the development of various industries in Malawi, thereby promoting job creation ‑ leading to poverty reduction.

“The coming in of investors such as NuEnergy signifies that the government’s plan to spearhead economic growth by promoting a private sector driven economy is working,” said Kachale.

October 2013
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