Sasol to explore potential of cleaner aviation fuels with world class partners

The Consortium will enable Sasol to work with world-class partners on the opportunity to employ its extensive experience to produce liquid fuels and chemicals


Sasol Ltd (Sasol) today announced it will work alongside a consortium comprising Linde PLC (Linde), ENERTRAG AG (ENERTRAG) and Navitas Holdings (Pty) Ltd (Navitas) – the LEN Consortium – to bid in concept for the production of sustainable aviation fuel (SAF) under the auspices of the German Federal Government’s H2Global auction platform.

The LEN Consortium will enable Sasol to work with world-class partners on the opportunity, employing its extensive experience to produce liquid fuels and chemicals with Fischer-Tropsch (FT) technology.

SAF is key to decarbonising the aviation sector, which is widely viewed as one of the most challenging sectors in which to reduce greenhouse gas emissions. SAF production employs a Power to Liquid (PTL) process, which relies on the supply of a sustainable carbon feedstock (biomass or other unavoidable industrial carbon dioxide sources) and the production of green hydrogen through electrolysis using renewable energy. The carbon and hydrogen are converted to synthesis gas, a mixture of carbon monoxide and hydrogen, which in turn is converted to longer chain hydrocarbons for the production of jet fuel or SAF via the FT process.

The H2Global platform has developed a framework for double auction systems for required projects to produce green hydrogen and its derivatives, as well as the importation of the resulting products into Germany. H2Global will enable green hydrogen projects to be established in designated countries, such as South Africa.

Sasol, as a global leader in FT technology, licensing and operations, is exploring the feasibility of SAF production at its Secunda Synfuels plant with its consortium partners. The project would leverage Sasol’s existing facilities, deep technical know-how in the FT process and downstream processing capabilities.

“Action on climate change is central to Sasol’s strategy, and we continue to take significant steps to reduce greenhouse gas emissions generated in our production processes,” said Fleetwood Grobler, Sasol President and CEO.

Grobler added: “The decision to explore the creation of a SAF production demonstration facility at our Secunda Operations is aligned with our long-term decarbonisation strategy. Green hydrogen is one of the key transitional fuel sources that we are working with via various strategic demonstration opportunities and partnerships. The H2Global consortium provides us with a powerful platform to support the development of these new technologies and their applications and markets.

“Sasol’s expertise in hydrogen and our extensive R&D capabilities, combined with our specialist knowledge of Fischer-Tropsch technology, supports our ambition to play a key role in creating South Africa’s hydrogen economy.”

Linde is a leading global industrial gases and engineering company listed on both the New York and Frankfurt stock exchanges. Through its ITM Linde Electrolysis joint venture, Linde is a leader in the design and operations of next generation PEM (Proton Exchange Membrane) electrolysers required to produce green hydrogen.

ENERTRAG is a German renewables energy company that owns close to 1 Gigawatt generation capacity and operates more than 6 Gigawatts of renewable assets. It also has a strong presence in South Africa. Navitas is a South African development, construction and investment company that primarily focuses on solar photovoltaic technology and sectors related to the just energy transition.

Sasol and the LEN Consortium have jointly engaged with the German government to inform H2Global of its intention to bid via the double auction mechanism. The H2Global carbon auction rounds are expected to launch towards the end of 2021.

More information on the project and partnership will be announced in the coming months once the partners have evaluated the feasibility of the project in greater detail, which include availability of biomass, integration of feedstock into Secunda Operations and the off-take arrangements and final H2Global mandatory requirements.

Sasol may, in this document, make certain statements that are not historical facts that relate to analyses and other information which are based on forecasts of future results and estimates of amounts not yet determinable. These statements may also relate to our future prospects, developments and business strategies. Examples of such forward-looking statements include, but are not limited to, statements regarding exchange rate fluctuations, volume growth, increases in market share, total shareholder return, executing our growth projects (including LCCP), oil and gas reserves and cost reductions, including in connection with our BPEP, RP and our business performance outlook. Words such as “believe”, “anticipate”, “expect”, “intend”, “seek”, “will”, “plan”, “could”, “may”, “endeavour”, “target”, “forecast” and “project” and similar expressions are intended to identify such forward-looking statements, but are not the exclusive means of identifying such statements. By their very nature, forward-looking statements involve inherent risks and uncertainties, both general and specific, and there are risks that the predictions, forecasts, projections and other forward-looking statements will not be achieved. If one or more of these risks materialise, or should underlying assumptions prove incorrect, our actual results may differ materially from those anticipated. You should understand that a number of important factors could cause actual results to differ materially from the plans, objectives, expectations, estimates and intentions expressed in such forward-looking statements. These factors are discussed more fully in our most recent annual report on Form 20-F filed on 28 August 2018 and in other filings with the United States Securities and Exchange Commission. The list of factors discussed therein is not exhaustive; when relying on forward-looking statements to make investment decisions, you should carefully consider both these factors and other uncertainties and events. Forward-looking statements apply only as of the date on which they are made, and we do not undertake any obligation to update or revise any of them, whether as a result of new information, future events or otherwise.

Please note: One billion is defined as one thousand million. bbl – barrel, bscf – billion standard cubic feet, mmscf – million standard cubic feet, oil references brent crude, mmboe – million barrels oil equivalent. All references to years refer to the financial year 30 June. Any reference to a calendar year is prefaced by the word “calendar”.


Source: Sasol, press release, 2021-04-14.