Sasol and ArcelorMittal South Africa Announces Partnership to Develop Carbon Capture Technology

Sasol and ArcelorMittal South Africa have announced a partnership to develop carbon capture technology to produce sustainable fuels and chemicals, and green steel production through green hydrogen and derivatives.

Under a joint development agreement (JDA), they will advance studies into two potential projects: the Saldanha green hydrogen and derivatives study which will explore the region's potential as an export hub for green hydrogen and derivatives, as well as green steel production; and the Vaal carbon capture and utilisation (CCU) study to use renewable electricity and green hydrogen to convert captured carbon from ArcelorMittal South Africa's Vanderbijlpark's steel plant into sustainable fuels and chemicals.

In addition, Sasol signed a Memorandum of Understanding (MOU) with Freeport Saldanha Industrial Development Zone to develop a globally competitive green hydrogen hub and ecosystem within Saldanha Bay.

"We are very excited to be leading the pre-feasibility and feasibility studies on these two potential projects that hold promise to unlock South Africa's potential to be a global green hydrogen and derivatives player. 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 Sasol's Energy Business. 

"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, Chief Executive Officers, of ArcelorMittal South Africa."Just as importantly, by maximising the utilisation of our installed assets, we will also be stimulating economic growth in our host communities."