Eskom and Sasol Have Signed A Gas-For-Power MoU Document
Eskom and Sasol Have Signed A Gas-For-Power 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 research possible long term liquified natural gas (LNG) requirements".
This is according to a joint statement by the two organizations, following the signing ceremony from the MoU on Friday.
"The collaboration aims to ascertain the probable volumes that South Africa involves to ascertain a feasible LNG import market place, along with the enabling infrastructure, and can be facilitated by federal government-to-government relations wherever necessary."
"This initiative focuses on employing fuel for energy generation to supply critical base load electrical power and position gas like a critical enabler of re-industrialisation, while also ensuring ongoing supply to the marketplace by more info unlocking world-wide LNG resources. sasol bursaries
"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 eskom 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 associated with the long-term commitments required for LNG imports," the statement said.