20 October 2021

Sasol to play lead role in kick-start of South Africa green hydrogen project

Energy firm will drive feasibility study exploring potential export hub.

© Cytonn Photography/Unsplash

South African energy and chemical firm, Sasol, has signed a Memorandum of Agreement (MOA) with the Northern Cape Development Agency to lead the feasibility study to explore the potential of Boegoebaai - located 60 km north of Port Nolloth and 20km south of the border between Namibia and South Africa - as an export hub for green hydrogen and ammonia. The study is expected to take approximately 24 months and drive next steps of the project.

The firm has ratified a further MOA with the Gauteng Provincial Government GPG to leverage 'Special Economic Zones' to “unlock South Africa's green hydrogen market potential for domestic use, such as mobility and aviation”, according to a press release accompanying the announcement. In parallel, it reveals Sasol has also partnered with the Industrial Development Corporation (IDC), who will provide joint funding for the study.

The Boegoebaai green hydrogen development has been designated a 'Strategic Integrated Project' in the South African National Development Plan and is located in the Namakwa 'Special Economic Zone'. Sasol has been engaging with the Infrastructure and Investment Office of the country's Presidency to develop a hydrogen economy in South Africa.

"We are very excited to be leading this feasibility study as part of unlocking South Africa's potential to be a global green hydrogen and green ammonia export player with the potential for sustainable aviation fuels in the future. This will also be anchored by local demand for green hydrogen. It is a tangible step forward for Sasol, as we seek to play a leading role in establishing the Southern Africa green hydrogen economy," explains Priscillah Mabelane, Executive Vice President for Energy at Sasol.