Eskom and Sasol Have Signed A Gas MoU Agreement
Eskom and Sasol Have Signed A Gas MoU Agreement
Blog Article
Friday, September 20, 2024
Eskom and energy and chemical business, Sasol, have signed a Memorandum of Understanding (MoU) to "collaboratively explore and research potential future liquified natural gas (LNG) requirements".
This really is according to a joint statement by the two corporations, following the signing ceremony from the MoU on Friday.
"The collaboration aims to ascertain the likely volumes that South Africa necessitates to establish a practical LNG import sector, together with the enabling infrastructure, and can be facilitated by govt-to-federal government relations exactly where necessary."
"This initiative focuses on using gasoline for energy generation to deliver important base load electricity and position gas for a crucial enabler of re-industrialisation, though also making certain continued supply to the industry by unlocking global 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 sasol bursaries 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 sasol learnerships 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 phase of the Sasol-Eskom collaboration will guide the necessary role players and investors required to offer the best prospects for South Africa's energy market, while outlining the challenges associated with the long-term commitments required sasol vacancies for LNG imports," the statement said.