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 possible potential liquified natural gas (LNG) requirements".
This can be based on a joint statement by the two providers, following the signing ceremony from the MoU on Friday.
"The collaboration aims to determine the prospective volumes that South Africa calls for to establish a practical LNG import industry, along with the enabling infrastructure, and can be facilitated by governing administration-to-federal government relations the place essential."
"This initiative concentrates on employing gas for electric power generation to supply necessary base load electric power and position gas as being a vital enabler of re-industrialisation, although also making sure ongoing supply to the industry by unlocking worldwide 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 eskom vacancies 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 eskom 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.