Exxaro Resources, a diversified miner, and the Council for Geoscience (CGS) in South Africa have formalized a memorandum of understanding (MoU) to jointly drive sustainability efforts and initiatives for decarbonisation. The collaboration aims to focus on carbon capture, use, and storage (CCUS) projects with the goal of reducing greenhouse gas emissions. These endeavours align with South Africa's national commitments outlined in the Nationally Determined Contribution (NDC) concerning climate change adaptation.

Expressing the significance of collaborative efforts, Exxaro's Chief Sustainable Impact Officer, Mongezi Veti, emphasized the necessity of a comprehensive, multi-stakeholder approach to foster resilience and sustainability within their operations. Veti highlighted the essential role of strategic partnerships, such as the one with CGS, in actualizing Exxaro's ambition to achieve carbon neutrality.

The collaboration's timing aligns with significant advancements in technical aspects and scientific interventions like CCUS. CGS CEO Mosa Mabuza emphasized the progress made in geological characterization, confirming the suitability of identified reservoirs for the pilot carbon dioxide sequestration project. Mabuza further explained that the CCUS project, co-funded by the South African government, the World Bank, and partners, aims to substantially contribute to climate mitigation efforts and enhance energy security.

Exxaro emphasized its environmental and social response to climate change, supporting South Africa's energy transition programs while acknowledging its critical role as a supplier to the country's coal-based electricity sector. The company outlined its natural capital impacts, including aspects such as air quality, climate change resilience, energy, water security, waste management, biodiversity, environmental liabilities, land management, and rehabilitation.

Dr. Nombasa Tsengwa, Exxaro's CEO, highlighted the company's intent to leverage CGS's knowledge and expertise to drive positive, solution-oriented approaches toward climate change mitigation and adaptation. Tsengwa acknowledged the significance of these initial steps, recognizing them as pivotal in gaining momentum for their journey to reduce climate impacts.