Sasol Limited, an integrated energy and chemical company based in Sandton, has set aside slightly over US$ 23M for the implementation of the Sasolburg repurposing project, under which a functioning electrolyzer in Sasolburg, Free State, will be remodeled to produce green hydrogen.
Also Read:Â Stakeholders Prepare for Green Hydrogen Project in Boegoebaai
The project, the lead components of which were ordered in November last year, is seen as a modest forerunner to a much larger green-hydrogen drive-by Sasol, which is also spearheading a feasibility assessment for green hydrogen developments in Boegoebaai, Northern Cape.
Sasol is currently in the process of acquiring 60 MW of extra renewable energy to power the facility according to CEO Fleetwood Grobler, who further explained that the company is analyzing responses to a recent request for proposals for the additional 60 MW from independent power producers (IPPs).
Sasol to buy a total of 1200 MW of renewable energy by 2030
The 60 MW is in addition to the 20 MW obtained directly from IPPs and the 600 MW obtained in collaboration with Air Liquide, of which 200 MW is targeted for 2023. According to Grobler, power purchase agreements are now being negotiated with a number of preferred bidders, the bulk of which wish to deliver electricity to Sasol via the Eskom network.
The 60 MW contract will be categorized as an embedded generating unit and will be located in Sasolburg. As part of its promise to reduce greenhouse gas emissions by 30% in 2030, the firm intends to buy a total of 1 200 MW of renewable energy by 2030.
Sasolburg Repurposing Projects POC to be complete and operational within 18 to 24 months
The proof-of-concept (POC) for the Sasolburg Repurposing Project will be fully complete and operational within a period of 18 to 24 months according to Grobler, producing up to five tonnes of green hydrogen and perhaps green ammonia per day.
Aside from the potential production of green ammonia, Sasol is looking at additional sectors, primarily in the transportation industry.
