Friday, September 20, 2024
Eskom and energy and chemical enterprise, Sasol, have signed a Memorandum of Understanding (MoU) to "collaboratively discover and study potential potential liquified natural gas (LNG) requirements".
This really is based on a joint statement by the two firms, following the signing ceremony from the MoU on Friday.
"The collaboration aims to find out the prospective volumes that South Africa needs to determine a practical LNG import market place, combined with the enabling infrastructure, and may be facilitated by government-to-governing administration relations the place essential."
"This initiative concentrates on using gasoline for energy generation to offer important base load energy and position gas being a key enabler of re-industrialisation, although also making sure ongoing supply to the market by unlocking international LNG resources.
"Furthermore, the collaboration will contribute to click here 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 sasol long-term LNG contracting".
"This will support the gas requirements click here 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 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.