Engineering News reported that state freight logistics group Transnet would begin construction of the urgently needed ZAR 11.2 billion new multi product fuel pipeline from Durban to southern Johannesburg in August and was confident of completing the project by September 2010.

The plans envisage a new 535 kilometer 24 inch pipeline as well as a 170 kilometer 16 inch lines, four pump stations, a coastal and inland terminal and a new operating systems.

Ms Maria Ramos CEO of Transnet, while speaking at a media briefing at the Carlton Centre, reported that the front end engineering design for the pipeline had been completed and the orders had been placed for both the 16 inch and the 24 inch pipelines. She said that the environmental approval for the inland portion of the network was expected imminently, which would open the way for the construction of the 16 inch lines as from August. She added that the construction contract was scheduled to be placed in May.

Mr Ramos stressed that Transnet Pipelines had been working with the liquid fuel industry, as well as the Department of Minerals and Energy, on a range of mitigating strategies for the interim period while the pipelines were being built.

Given the September 2010 commissioning plan, the new infrastructure would also not be completed in time for the start of the FIFA World Cup, which kicks off in June and when inland fuel demand was expected to experience something of a peak.