December 2019

Now, at the end of 2019, we are reminded yet again of the undeniable and important role that traditional fossil fuel still plays in the global energy mix. Zero carbon emissions from energy production still remains a fantasy, but progress is certainly being made.

In the southern Norwegian North Sea, the infamous Johan Sverdrup project has achieved the start-up of production and first oil and operator Equinor is keen to highlight that sourcing oil here is more efficient than ever before, paving the way for existing and new fields to become friendlier.

As the third largest discovery on the Norwegian Continental Shelf, Johan Sverdrup will supply oil to global markets for the next 50 years, feeding money through a long value chain, creating employment, wealth and tax revenue for millions of people.

Meanwhile, Equinor is also heavily invested in renewable energy and continues to pioneer construction and operation methods in wind and tidal generation – reflecting its new identity as a broad-based energy supplier.

We take a deeper look at progress that has been made on the important Johan Sverdrup field.

In South Africa, using coal for power generation is still widespread. The country is finalising two of the world’s largest coal-fired power plants, and Sasol, one of the largest businesses in the country is pushing on with investments in the USA to complete its new chemical plant.

We look further at national infrastructure giant, Transnet, and how its port and rail network moves coal around the country; and Sasol, and how it still relies on coal to drive business.

Burning fossil fuels will not stop anytime soon. Those companies that have a widespread portfolio and exposure to new generating methods are those that will go on to command market share in the industry. 2020 will be a defining year for all, and those that can adapt are those that will thrive.