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 discover and study potential long term liquified natural gas (LNG) requirements".
This really is according to a joint statement by the two corporations, following the signing ceremony of the MoU on Friday.
"The collaboration aims to find out the probable volumes that South Africa needs to determine a feasible LNG import industry, together with the enabling infrastructure, and will be facilitated by authorities-to-govt relations where vital."
"This initiative focuses on applying fuel for power generation to offer important base load electricity and position gas like a critical enabler of re-industrialisation, when also making sure continued supply to the marketplace by unlocking world wide 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, more info existing and future customers, suppliers, and infrastructure developers.
"The research findings from the first phase of the Sasol-Eskom collaboration more info will guide the necessary role players and investors required to offer the best prospects for South Africa's energy market, while outlining eskom learnerships the challenges associated with the long-term commitments required for LNG imports," the statement said.