News Industry

Sasol Enhances Coal Strategy to Fund Energy Transition by 2030

Sasol Enhances Coal Strategy to Fund Energy Transition by 2030
Wednesday, 21 May 2025 12:22
  • Sasol to improve coal quality to sustain profitability and limit emissions

  • Secunda output to exceed 7.4 million tons/year by 2028

  • Renewable and gas investments to support decarbonization targets

Sasol is implementing a hybrid strategy that reinforces coal operations to sustain profitability while advancing its energy transition goals. The company, the world’s largest producer of synthetic fuels from coal and gas, is investing in improving coal quality to maintain competitiveness and support its target to cut greenhouse gas emissions by 30% by 2030.

At the core of this strategy is the ramp-up of output at the Secunda industrial site, where Sasol plans to exceed 7.4 million tons per year by 2028—nearing full capacity. To achieve this without compromising its emissions commitments, the firm is focusing on enhancing the quality of coal extracted from its mines. This follows geological challenges that have reduced coal efficiency, caused frequent gasifier breakdowns, and lowered plant availability.

Real-time coal quality monitoring is being deployed and is expected to be operational by December 2025. Simultaneously, Sasol is optimizing operations at the Thubelisha mine to increase internal supply at lower cost and will continue sourcing additional coal externally to adjust its feedstock mix.

The coal quality initiative is part of a broader operational transformation. Sasol has revised its renewable energy capacity target upward—from 1.2 GW to over 2 GW—intending to offset a portion of its coal-related emissions. It is also pursuing gas-based power generation partnerships, notably with Eskom, and investing in future-focused sectors such as sustainable aviation fuels and green chemistry.

This dual-track approach is underpinned by strict financial discipline. Sasol aims to keep net debt below $3 billion while maintaining conditions for dividend resumption and future high-return investments. The strategy reflects Sasol’s intent to balance its legacy industrial model with the need for climate-resilient energy solutions.

On the same topic
Key Highlights Niger’s government has seized full control of SOMAÏR, its only active uranium mine, stripping Orano of its 63.4% stake. Officials...
Key Highlights• Ivory Coast ends TSDAR, a petroleum tax introduced in 2018 to reduce SIR’s debt.• Government to redirect two-thirds of revenue to...
Key Highlights: • Sri Lankan textile group, Star Garments, inaugurates its first factory in Africa with an anticipated 4,520 jobs by 2030.•...
Key Highlights: Nigeria plans to establish a real-time tracking system for all exported crude oil consignments to curb the losses Nigerian authorities...
Most Read
01

• Maritime sector faces renewed risks amid military tensions in the Middle East• Blockade fears at S...

Israel-Iran conflict raises new threats for global shipping and oil trade
02

Egypt signs deals to import up to 290 LNG cargoes over 30 months, starting in July Trafigura,...

Egypt secures 290 LNG shipments ahead of peak summer electricity demand
03

(AfDB)-Egypt's first integrated solar and battery storage plant will deliver dispatchable clean ener...

AfDB, EBRD and BII support pioneering solar and battery storage project in Egypt with $476 million loan
04

Lion Group to explore and exploit gold, copper, and manganese in Algeria Malaysian firm plans...

Algeria, Lion Group sign mining and metals investment deal
05

This launch is a significant milestone that highlights Rwanda's ongoing digital transformation. With...

MTN Rwanda Launches 5G Network in Kigali, Paving Way for Nationwide Expansion
Enter your email to receive our newsletter

Ecofin Agency provides daily coverage of nine key African economic sectors: public management, finance, telecoms, agribusiness, mining, energy, transport, communication, and education.
It also designs and manages specialized media, both online and print, for African institutions and publishers.

SALES & ADVERTISING

Benjamin FLAUX
bf@agenceecofin.com 
Téls: +41 22 301 96 11 
Mob: +41 78 699 13 72
Média kit : Download

EDITORIAL
redaction@agenceecofin.com

More information
Team
Publisher

ECOFIN AGENCY

Mediamania Sarl
Rue du Léman, 6
1201 Geneva
Switzerland

 

Ecofin Agency is a sector-focused economic news agency, founded in December 2010. Its web platform was launched in June 2011. ©Mediamania.

 
 

Please publish modules in offcanvas position.