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 investigate and study potential potential liquified natural gas (LNG) requirements".
This can be according to a joint statement by the two companies, following the signing ceremony from the MoU on Friday.
"The collaboration aims to ascertain the prospective volumes that South Africa needs to determine a practical LNG import marketplace, together with the enabling infrastructure, and may be facilitated by governing administration-to-government relations in which important."
"This initiative concentrates on using gas for electrical power generation to offer necessary base load electricity and position gas like a essential enabler of re-industrialisation, when also making sure ongoing 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 get more info "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 read more 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 sasol careers 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.