Air Liquide, Sasol Sign New PPAs With Enel JV To Supply Renewable Energy To Secunda Site

(RTTNews) - French industrial gases company Air Liquide SA (AIQUY.PK) and South African energy and chemical company Sasol Limited (SSL) Monday announced that they have signed new Power Purchase Agreements or PPAs with Enel Green Power RSA.

The PPAs are for the long term supply of an additional capacity of 110 MW of renewable power to Sasol's Secunda site in South Africa.

Within the framework of the deal, Enel Green Power RSA, a joint venture between Enel's renewable arm Enel Green Power and Qatar Investment Authority, will create a local company, which will build a wind farm located in the Eastern Cape province.

The renewable energy production facility is scheduled to be operational by 2026.

Air Liquide acquired Sasol's 16 oxygen production units in Secunda and has been operating them since June 2021.

Air Liquide and Sasol have already signed three sets of PPAs. Together, these PPAs represent a total renewable power capacity of around 690 MW.

Air Liquide now said these contracts will represent an annual reduction in its CO2 emissions of around 1.2 million tonnes. They will also contribute to Air Liquide's targeted reduction by 30% to 40% of the CO2 emissions associated with oxygen production in Secunda by 2031.

Nicolas Poirot, Chief Executive Officer of Africa Middle-East & India, said, "These new renewable electricity supply agreements are yet another sign of our strong joint commitment to decarbonize the production of oxygen in Secunda since Air Liquide took over Sasol's units in 2021. These long-term contracts will actively support the development of renewable energy in South Africa, for the benefit of the country's electrical system and ultimately of the South African society in the context of a Just Transition."