Exxon Mobil Secures Preliminary LNG Deal with South Africa
Exxon Mobil Corp. has reportedly reached a preliminary agreement to supply liquefied natural gas (LNG) to South Africa. This initiative aims to bolster South Africa's power grid and reduce its heavy reliance on coal. The deal is expected to contribute to the country's efforts to diversify its energy sources.
Exxon Mobil Corp. has reportedly entered into a preliminary agreement to supply liquefied natural gas (LNG) to South Africa. The purpose of this deal is to help South Africa enhance its power grid and decrease its dependency on coal-fired electricity generation.
South Africa's state utility operates coal-fired power plants, such as the Eskom Holdings SOC Ltd. Arnot facility in Mpumalanga. These plants are noted for emitting pollutants that are a primary cause of respiratory diseases, including asthma. The intensity of these emissions is reported to be almost 42 times higher than that of coal plants in China.
This move by Exxon Mobil Corp. aligns with efforts to transition South Africa towards cleaner energy alternatives and strengthen its national energy infrastructure.
According to Bloomberg Markets, people familiar with the matter confirmed the preliminary deal.
