The deal is entered into with a French company.
Global petro-chemical giant Sasol said has said that it is selling its oxygen plant in Secunda, after an agreement with French company Air Liquide to acquire the Mpumalanga site for R8.5 billion.
Sasol boss Fleetwood Grobler said the aim is to focus on core assets as part of repositioning the company for the future.
“While this transaction is in line with this review and has important commercial benefits there are very clear and compelling strategic objectives – one of the most significant being the pursuit of decarbonisation not only for the ASU operations but for the whole of Sasol’s Secunda operations. This transaction is more than a business transaction,” he said.
This will also assist the company pay off it’s debt.
Air Liquide is a French multinational company and supplies industrial gases to various industries – including medical, chemical and electronic manufacturers.
Air Liquide boss Benoit Potier said the taking over of Sasol’s oxygen plant represents a new journey for the company.
“It will enable new teams to join those of the group already present on site,” he said.
“In line with our strategy and our know-how, this operation illustrates our intent to act as of now in favour of the climate and local ecosystems.
“It will allow both Air Liquide and Sasol to focus on their core business, combining operational efficiency and reduction of CO2 emissions,” Potier said.
Air Liquide has been operating in South Africa for more than 70 years.
It has been with Sasol for 40 years.
Sasol’s oxygen plant located inside Sasol’s Secunda industrial complex is the largest oxygen production site in the world.
(edited by MLM)
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