Exxaro Resources and Eskom have signed a Memorandum of Understanding (MoU) that focuses on collaboration on strategic initiatives, research, and projects in the areas of Carbon Emissions Reduction, Air Quality and Just Transition. This is in line with South Africa’s commitment to achieving the goals of the Paris Agreement, international environmental standards, and national regulatory frameworks.

The agreement, signed at a ceremony on the 14th of April 2025, focuses on jointly measuring, managing, and reducing Scope 1, 2, and 3 emissions, and potentially investing in innovative technologies to drive decarbonisation. The agreement also emphasises inclusive and focused transition initiatives such as skills development, job creation in green sectors, and stakeholder engagement to ensure climate resilience. The MoU also includes provisions for data sharing and transparent reporting to track progress and ensure accountability.

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“This collaboration marks a significant step forward in our commitment to enabling a just transition and building a climate-resilient, and low-carbon future. By leveraging our deep experience in the diversified mining and energy solutions sectors, we aim to drive innovation that not only decarbonises and reduces air pollution in our operations but also delivers meaningful socio-economic benefits for the communities we serve. The collaboration with Eskom is important as we work to accelerate practical and scalable solutions that support South Africa’s energy security and environmental ambitions as part of our purpose of Powering Better lives in Africa and beyond,” said Ben Magara, CEO of Exxaro Resources.

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The initial focus in the collaboration will guide the necessary investments and stakeholders needed to find technology-based solutions to the challenges associated with the transition to a low-carbon economy, aligned with country’s Integrated Resource Plan (IRP).

“Both organisations are committed to driving the transition to a more sustainable energy future while ensuring the country’s electricity supply remains secure and we wanted to bring together our decades of experience in the coal value chain to explore practical, scalable solutions. This initiative forms part of Eskom’s focus both in this country and internationally to identify the latest developments and strategies to reduce carbon emissions and other air pollutants,” said Dan Marokane, Group Chief Executive, Eskom.

Exxaro on Sustainable Impact

Exxaro says it remains steadfast in advancing its Sustainable Growth and Impact strategy by embedding key ESG priorities into its operations. Exxaro’s sustainable mining practices focus areas include decarbonisation and climate resilience, improving air quality, rehabilitating mined land, protecting biodiversity, and enhancing energy and water efficiency. The company said this also includes commitment to minimising waste through circular economy practices, and by proactively furthering strategic partnerships to amplify its impact.

Eskom Research business unit

Eskom’s Research, Testing & Development (RT&D) business unit will lead this partnership, utilising its mandate to drive technological solutions that enhance operational efficiency and improve emissions management, including greenhouse gas abatement and related initiatives. A core focus for RT&D is supporting a differentiated, multi-pathway approach to transitioning from high-carbon to low-carbon energy sources. This involves identifying technologies and processes that promote a competitive, sustainable economy while improving Eskom’s operational efficiency to meet South Africa’s growing electricity demand sustainably.