Sasol has been engaging with the Infrastructure and Investment Office (IIO) of the Presidency to develop a hydrogen economy in South Africa. The company has signed a Memorandum of Agreement (MOA) with the Northern Cape Development Agency (NCEDA) to lead the feasibility study to explore the potential of Boegoebaai as an export hub for green hydrogen and ammonia. This study is expected to take approximately 24 months. The outcomes of this feasibility study will determine the next step of development.
Sasol has signed a MOA with the Gauteng Provincial Government (GPG) to leverage Special Economic Zones (SEZs) that have been earmarked as enablers to unlocking South Africa’s green hydrogen market potential for domestic use, such as mobility and aviation.
In parallel, the company has partnered with the Industrial Development Corporation (IDC) who will provide joint funding for the feasibility study.
Sasol continues to advance several catalytic projects to develop both local and export opportunities in the region. This Boegoebaai project is one of a number of green hydrogen, ammonia and power-to-X (P2X) opportunities that the company is assessing as part of the new strategy announced at its recent capital markets day. Its strategy is aligned with South Africa’s ambitions to establish the country as a significant green hydrogen production and global export hub.
As the lead project integrator, Sasol will bring together strategic partners along the value chain and other enabling role players that will drive industrialisation of the Northern Cape. These include potential customers, funders, investors, technology suppliers and South African green energy providers.