Eskom and Sasol Have Signed A Gas MoU Document
Eskom and Sasol Have Signed A Gas MoU Document
Blog Article
Friday, September 20, 2024
Eskom and energy and chemical company, Sasol, have signed a Memorandum of Understanding (MoU) to "collaboratively discover and investigate prospective long term liquified natural gas (LNG) requirements".
This can be based on a joint statement by the two companies, following the signing ceremony from the MoU on Friday.
"The collaboration aims to ascertain the probable volumes that South Africa demands to determine a feasible LNG import market place, combined with the enabling infrastructure, and will be facilitated by federal government-to-authorities relations where vital."
"This initiative focuses on employing gas for electric power generation to supply critical base load energy and position gas being a key enabler of re-industrialisation, even though also ensuring continued supply to the marketplace by unlocking global LNG resources.
"Furthermore, the collaboration will contribute to enhancing website 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 eskom vacancies 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 sasol careers challenges associated with the long-term commitments required for LNG imports," the statement said.