Eskom and Sasol Have Signed A Gas-For-Fuel MoU Document
Eskom and Sasol Have Signed A Gas-For-Fuel MoU Document
Blog Article
Friday, September 20, 2024
Eskom and energy and chemical company, Sasol, have signed a Memorandum of Understanding (MoU) to "collaboratively explore and investigate prospective future liquified natural gas (LNG) requirements".
This is based on a joint statement by the two businesses, following the signing ceremony from the MoU on Friday.
"The collaboration aims to determine the possible volumes that South Africa calls for to establish a feasible LNG import current market, along with the enabling infrastructure, and can be facilitated by govt-to-government relations in which necessary."
"This initiative focuses on working with gas for electricity generation to deliver essential base load electrical power and position gas to be a key enabler of re-industrialisation, whilst also ensuring continued supply to the market by unlocking worldwide LNG resources.
"Furthermore, the collaboration will contribute to enhancing South Africa’s eskom vacancies 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 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 sasol vacancies associated with the long-term commitments eskom learnerships required for LNG imports," the statement said.