by Tech Talk | Feb 22, 2023 | Articles
Integrated energy and chemicals firm Sasol anticipates financial as well as environmental benefits from its drive to use renewable energy for its operations, CEO Fleetwood Grobler said.
The world’s biggest producer of fuels and chemicals from coal and gas, is working to cut its emissions by 30% by 2030.
Sasol and French gas company Air Liquide, which acquired Sasol’s oxygen production units in Secunda, launched a partnership in 2021 to jointly procure 1.2GW of renewable energy for their respective operations.
On Tuesday, the two companies announced a 260MW wind and solar power purchase agreement with TotalEnergies and the privately owned South African renewable energy firm Mulilo.
This adds to deals for 289MW of renewable power Sasol and Air Liquide signed in January with Enel Green Power, a unit of Italy-based Enel and Msenge Emoyeni Wind Farm.
Grobler said in an interview that 550MW of renewable energy projects that are expected to be operational by 2025 would account for around a third of Sasol’s current electricity consumption of 1.5GW.
“It helps us on our decarbonisation journey. It also makes business sense, when you look at the escalation of Eskom power price increases and factor in what the renewable power purchase agreements come out at, it becomes economically sensible to go for renewable energy,” Grobler said.
Sasol reported a 9% profit jump in a half year it described as mixed as higher oil prices offset the impact of weaker global economic growth, higher costs, power cuts and poor rail logistics.
Sasol’s core headline earnings per share — the company’s preferred measure of its operating performance — was R24.55 in the six months to December 2022, compared to R22.52 in the corresponding six-month period a year earlier.
It said production volumes declined during the six months due to lower productivity and poor coal quality from its mining operations.
Sasol declared an interim dividend of R7/share. — Reuters
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by Tech Talk | Oct 19, 2022 | Articles
Sasol says it is partnering steelmaker ArcelorMittal South Africa to explore carbon capture technology and steel production using green hydrogen.
Green hydrogen, produced from splitting water into hydrogen and oxygen using renewable energy sources such as solar and wind, is considered a cleaner energy source for the future, but the technology is still in its infancy and relatively expensive.
Sasol is the world’s biggest producer of fuel products and chemicals from coal, but is transitioning away from the fossil fuel as part of its decarbonisation plan. ArcelorMittal South Africa is Africa’s biggest steel producer, with a significant carbon footprint.
Both companies are targeting net zero carbon emissions by 2050, in line with South Africa’s aim to cut climate-warming gas emissions.
In a statement, Sasol said the two firms would jointly advance a green hydrogen and derivatives study on the Saldanha region’s potential as an export hub for green hydrogen and derivatives, as well as green steel production.
They will study the use of renewable electricity and green hydrogen to convert captured carbon from ArcelorMittal’s Vanderbijlpark steel plant into sustainable fuels and chemicals, it said.
“These studies are anchored by the local need for green hydrogen and sustainable products, cementing Sasol as the leading contributor to the development of Southern Africa’s green hydrogen economy,” said Priscillah Mabelane, executive vice president for energy.
The initiatives could see ArcelorMittal South Africa becoming Africa’s first green flat steel producer using green hydrogen from its Saldanha works, which are currently under care and maintenance, while also reducing the carbon footprint of its flagship Vanderbijlpark works.
“These potential projects are an important kick-start to our decarbonisation journey and create an exciting opportunity to contribute to the South African government’s aspirations to transition to a green economy,” said Kobus Verster, CEO of ArcelorMittal South Africa. — Reuters
Editor@tech-talk.co.za
