Eskom and Sasol Have Signed A Gas-For-Fuel MoU Document
Friday, September 20, 2024
Eskom and energy and chemical company, Sasol, have signed a Memorandum of Understanding (MoU) to "collaboratively discover and study potential potential liquified natural gas (LNG) requirements".
This can be according to a joint statement by the two organizations, following the signing ceremony of the MoU on Friday.
"The collaboration aims to ascertain the likely volumes that South Africa involves to establish a practical LNG import industry, along with the enabling infrastructure, and may be facilitated by governing administration-to-federal government relations exactly where necessary."
"This initiative focuses on applying gas for electric power generation to provide vital base load electrical energy and position gas for a key enabler of re-industrialisation, although also guaranteeing ongoing supply to the industry by unlocking global 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, eskom vacancies in addition to evaluating long-term LNG contracting".
"This will sasol careers 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 eskom learnerships 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 associated with the long-term commitments required for LNG imports," the statement said.