Sasol has signed a Memorandum of Agreement 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.
The study, which is expected to take around two years, will determine the next development step. The Boegoebaai green hydrogen development has been designated a Strategic Integrated Project (SIP) in the South African National Development Plan and is located in the Namakwa Special Economic Zone (SEZ).
The Boegoebaai project is one of several green hydrogen, ammonia and power-to-X (P2X) opportunities, which Sasol is assessing as part of the new strategy announced at its recent capital markets day. Sasol’s strategy is aligned with South Africa’s ambitions to establish the country as significant green hydrogen production and global export hub.
Sasol has signed an agreement with the Gauteng Provincial Government (GPG) to leverage Special Economic Zones (SEZs) to support the green hydrogen market potential for domestic use, such as mobility and aviation. Moreover, Sasol has partnered with the Industrial Development Corporation (IDC) to provide joint funding for the feasibility study.
Priscillah Mabelane, Executive VP for Energy at Sasol, said, “It is a tangible step forward for Sasol, as we seek to play a leading role in establishing the Southern Africa green hydrogen economy.”