Friday, September 20, 2024
Eskom and energy and chemical enterprise, Sasol, have signed a Memorandum of Understanding (MoU) to "collaboratively investigate and research potential future liquified natural gas (LNG) requirements".
This really is according to a joint statement by the two firms, following the signing ceremony from the MoU on Friday.
"The collaboration aims to find out the possible volumes that South Africa involves to determine a viable LNG import sector, together with the enabling infrastructure, and can be facilitated by government-to-governing administration relations where vital."
"This initiative focuses on working with gasoline for power generation to deliver important base load electrical energy and position gas as a essential enabler of re-industrialisation, though also ensuring continued supply to the marketplace by unlocking world 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, 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 click here 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 eskom 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 sasol 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.