Eskom and Sasol Have Signed A Gas-For-Power MoU Agreement
Eskom and Sasol Have Signed A Gas-For-Power MoU Agreement
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 future liquified natural gas (LNG) requirements".
This really is according to a joint statement by the two firms, following the signing ceremony of the MoU on Friday.
"The collaboration aims to determine the prospective volumes that South Africa necessitates to determine a viable LNG import current market, together with the enabling infrastructure, and will be facilitated by governing administration-to-government relations in which important."
"This initiative concentrates on working with gas for power generation to deliver crucial base load electricity and position gas like a critical enabler of re-industrialisation, though also ensuring ongoing supply to the market by unlocking global LNG resources.
"Furthermore, the collaboration will more info 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 sasol learnerships 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 vacancies 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 associated with the long-term commitments required for LNG imports," the statement said.