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As part of the initial stage of its Virginia gas and helium development, Renergen has started up the first commercial LNG production facility in South Africa.

The company recently announced that the Virginia gas project is now operational, transforming Renergen from an explorer to a producer by generating liquid hydrocarbons, with the production of helium modules following soon after.

The system will be useful to Renergen, which has started filling bulk storage tanks to start delivering products to customers. Virginia will become the first LNG plant in South Africa to begin operations, according to the company.

Renergen will focus on progressing operations over the coming months to full Phase 1 capacity—which would play an essential role in reducing the country’s carbon footprint by substituting diesel in trucks and for commercial users.

The initial production phase of the Victoria project will produce approximately 350kg of helium and 2,500GJ of LNG. Renergen signed LNG supply deals with a unit of Italtile, Ceramic Industries, and Consol Glass.

The second phase of the Virginia gas project is also planned by Renergen.

“This is a significant step on the path to demonstrating to the world that Renergen can become a global player in the supply of liquid helium and a material local supplier of much-needed LNG,” says CEO Stefano Marani.

Local consumers will use LNG as an alternative to diesel. Renergen will continue its plans after receiving international support.