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#MiningIndaba: Anglo pivots to Sasol biodiesel for emissions gains
4 Feb 2025
Anglo American, Sasol, and De Beers signed a joint development agreement (JDA) to pilot feedstock production for renewable diesel, marking Anglo American's strategic pivot away from hydrogen as its primary emissions reduction strategy toward the technology now known as renewable diesel (formerly biodiesel) as part of its decarbonisation journey. Anglo will be the main customer, Sasol will provide the fuel and De Beers will provide the agriculture land.
The agreement, signed during the Investing in African Mining Indaba in Cape Town, aims to explore the technical and commercial feasibility of growing feedstocks such as Solaris and Moringa to produce vegetable oil for renewable diesel.
This initiative is a step-change in the drive to establish a renewable fuels value chain in South Africa – with hydrogen not even whispered in the conference halls.
During his keynote address Anglo CEO Duncan Wanblad alluded to the critical role of partnerships in transforming business efficiency and achieving sustainability goals.
"In this complex global context, the transformation of partnerships becomes crucial,” he said.
“To genuinely benefit from Africa’s mining future, we must foster deeper dialogues between businesses and governments, prioritising shared responsibility, mutual benefit, and long-term value creation."
Resource nationalism
Wanblad also leaned into Anglo’s evolving approach to collaboration, particularly in addressing resource nationalism.
"Governments must share revenue and risk fairly to create partnerships that succeed,” he said.”
“The De Beers-Botswana partnership is a shining example of how negotiations can work when both parties fully understand the stakes and opportunities."
The pivot to renewable diesel reflects a practical focus on leveraging existing infrastructure instead of reinventing the proverbial wheel.
"Our mining operations consume about 400 million litres of fuel annually,” explained Alison Atkinson, Anglo’s projects and development director.
“Renewable diesel offers an immediate opportunity to lower costs and support local manufacturing, with the added benefit of creating sustainable value chains and jobs, especially in agriculture."
Dr Sarushen Pillay, EVP of Sasol’s business building, strategy and technology portfolio, described renewable diesel as a transformative fuel:
Renewable diesel meets the technical standards of conventional diesel while reducing greenhouse gas emissions by up to 90% on a lifecycle basis. Customers can use it as a ‘drop-in’ fuel in their existing machinery, making it a seamless transition to greener operations.
Moringa is a promising feedstock for biodiesel
The collaboration will initially focus on trial plantations of Moringa and Solaris crops across three locations in South Africa: Blouberg and Messina in Limpopo, Marble Hall, and the Voorspoed mine closure site in the Free State.
De Beers is contributing over 20 hectares of rehabilitated land for this pilot project.
Moringa oleifera, also known as the "miracle tree," has emerged as a promising candidate for biodiesel production due to its high oil yield and resilience in arid conditions.
The oil contains a high percentage of oleic acid (greater than 70%), making it ideal for biodiesel.
This means a high calorific value – cetane number of approximately 67, one of the highest among biodiesel fuels.
(A higher cetane number translates into cleaner combustion and improved engine performance.)
Moringa seeds can be cultivated on lands unsuitable for food crops, which gives the dual benefit of land rehabilitation and sustainable feedstock production.
Sasol’s Fischer-Tropsch tech and existing infrastructure (Natref), is uniquely positioned to convert these feedstocks into renewable diesel efficiently.
“Using our existing assets, we can produce renewable diesel faster and more cost-effectively than greenfield projects,” Pillay explained.
Big win for small scale farmers
Sasol executives told Bizcommunity that while the project is still in its early trial phase, the plan is to empower small scale farmers to assist on the agriculture side to cultivate the Moringa.
This partnership also aligns with Anglo American’s FutureSmart Mining approach, which prioritises innovation-led sustainable mining practices.
“By repurposing disturbed land for biomass farming, we’re not only advancing environmental sustainability but also creating new economic opportunities for communities," said Atkinson.
Atkinson was quick to answer questions about De Beers’ future by saying that if the assets are sold, the new owners will honour the land commitments.
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