Eskom and Sasol Have Signed A Gas MoU Arrangement
Eskom and Sasol Have Signed A Gas MoU Arrangement
Blog Article
Friday, September 20, 2024
Eskom and energy and chemical business, Sasol, have signed a Memorandum of Understanding (MoU) to "collaboratively explore and study possible future liquified natural gas (LNG) requirements".
That is based on a joint statement by the two corporations, following the signing ceremony of the MoU on Friday.
"The collaboration aims to find out the possible volumes that South Africa necessitates to ascertain a viable LNG import marketplace, combined with the enabling infrastructure, and may be facilitated by authorities-to-governing administration relations in which necessary."
"This initiative focuses on employing fuel for ability generation to provide important base load energy and position gas for a important enabler of re-industrialisation, whilst also making sure ongoing supply to the industry by unlocking world LNG resources.
"Furthermore, the collaboration will contribute to enhancing South Africa’s energy mix and enable the country's energy transition and decarbonisation," the joint statement read.
The MoU is expected to "explore sourcing gas within South Africa, the Southern African Development Community region, and other parts of the African continent, in addition to evaluating long-term LNG contracting".
"This will support the gas requirements for Eskom’s planned coal power station repowering and conversion to gas in the long term. The parties will also engage other state entities to enable an LNG value chain in South Africa.
"As part of its revised gas strategy, Sasol is working on enabling the future supply of LNG to South Africa by collaborating with companies such as Eskom, existing and future customers, suppliers, and infrastructure developers.
"The research findings from the first sasol careers phase of the Sasol-Eskom collaboration will guide the necessary role players and investors required to offer the best prospects for South Africa's sasol careers energy market, while outlining the sasol learnerships challenges associated with the long-term commitments required for LNG imports," the statement said.