Renewable Power Agreements Impact in South Africa

Air Liquide (Paris:AI) and Sasol have recently inked new Power Purchase Agreements (PPAs) with Enel Green Power RSA for the supply of an additional 110 MW of renewable power to Sasol's Secunda site in South Africa, marking the fourth such set of agreements since 2023. In total, these PPAs now account for a substantial 690 MW of renewable power capacity.

Environmental Impact and Commitment

By entering into these contracts, Air Liquide is set to make a significant annual reduction in its CO(2) emissions, amounting to approximately 1.2 million tonnes. These efforts align with Air Liquide's targeted reduction goal of 30% to 40% of the CO(2) emissions linked to oxygen production in Secunda by 2031.

Socio-Economic Development

As part of the agreement, Enel Green Power will establish a local entity committed to strong socio-economic development initiatives. This new entity will oversee the construction of a wind farm in the Eastern Cape province, set to commence operations by 2026.

Statement from CEO

Commenting on the deal, Nicolas Poirot, Chief Executive Officer of Africa Middle-East & India, emphasized the shared commitment of Air Liquide and Sasol to decarbonize oxygen production in Secunda following Air Liquide's integration of Sasol's units in 2021. Poirot highlighted the role these long-term contracts will play in driving renewable energy development in South Africa, ultimately benefiting both the nation's electrical grid and society as a whole within the framework of a Just Transition.

Air Liquide Expands Operations in Secunda

Air Liquide has recently acquired Sasol's 16 oxygen production units in Secunda, marking a significant development for the company. These production units have been operational under Air Liquide since June 2021, as part of a long-term supply contract with their partner. With this acquisition, Air Liquide now operates a total of 17 Air Separation Units (ASUs) in Secunda, boasting an impressive total capacity of 47,000 tonnes per day of oxygen.

Commitment to Sustainability

In line with their commitment to sustainability, Air Liquide has ambitious plans to significantly reduce CO(2) emissions (Scope 2) associated with the newly acquired production units. Through a comprehensive investment and modernization plan, coupled with a substantial increase in the procurement of renewable energies, the company aims to decrease emissions by 30% to 40%.

Leading the Way in Gases and Technologies

As a global leader in gases, technologies, and services for industry and healthcare, Air Liquide's presence spans 72 countries, serving over 4 million customers and patients. The core small molecules essential for life, matter, and energy - oxygen, nitrogen, and hydrogen - are at the forefront of Air Liquide's scientific expertise, driving its activities since its inception in 1902.

Pioneering Solutions for a Sustainable Future

Air Liquide's strategic plan for 2025, known as ADVANCE, underscores the company's commitment to driving global performance across financial and extra-financial dimensions. By exploring new markets and leveraging its business model based on resilience, innovation, and technological prowess, the group is at the forefront of developing solutions that facilitate climate action and energy transition, with a particular focus on hydrogen.

Financial Performance and Recognition

In 2023, Air Liquide reported revenues exceeding 27.5 billion euros, highlighting its financial strength and market leadership. Listed on the Euronext Paris stock exchange and included in prestigious indexes such as CAC 40, CAC 40 ESG, EURO STOXX 50, FTSE4Good, and DJSI Europe, Air Liquide continues to be a benchmark for sustainable practices and operational excellence in the industry.

Air Liquide, a global leader in gases, technologies, and services for Industry and Health, recently announced exciting news. This company continues to innovate and make a positive impact on various industries.

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