Friday, September 20, 2024
Eskom and energy and chemical company, Sasol, have signed a Memorandum of Understanding (MoU) to "collaboratively explore and research prospective long term liquified natural gas (LNG) requirements".
This really is based on a joint statement by the two providers, following the signing ceremony of the MoU on Friday.
"The collaboration aims to find out the possible volumes that South Africa necessitates to establish a feasible LNG import current market, together with the enabling infrastructure, and will be facilitated by government-to-authorities relations the place important."
"This initiative concentrates on applying gas for electrical power generation to supply necessary base load electrical energy and position gas like a essential enabler of re-industrialisation, when also guaranteeing ongoing supply to the industry by unlocking world-wide LNG resources.
"Furthermore, the sasol careers 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 eskom learnerships the African sasol vacancies 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 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.