Honourable Minister of Energy, Ms Dipuo Peters
Chairperson of the Board and CEO of PetroSA
Esteemed employees of PetroSA
Ladies and gentlemen,
Thank you for arranging this informative visit to PetroSA and for the warm welcome that I received here.
It was important for me to come here first hand, given the value and potential of this company to our country and the world.
It is also important to note the impressive growth of this company from the successful merger in just eight years.
In the past few years there have not only been indications of challenges with regard to oil supply in the country, but the costs have also been equally prohibitive.
Not only is crude oil in increasing demand worldwide, but clean oil is very necessary, mainly to meet even the environmental challenges that we face.
In Southern Africa, the demand for automotive fuels exceeds the local production capacity.
This also affects South Africa, putting us in some kind of dependency trap, where we have to import refined automotive products.
Therefore I am grateful for the very important strategic role that PetroSA is playing in the country, as well as its growing global significance.
To be able to reach the markets in Europe, the USA, Caribbean, Middle East and the Far East, is an important achievement.
With the company supplying about seven percent of South Africa’s liquid fuel needs, indications are that we will lessen our dependence on foreign sources of fuel.
We welcome the fact that PetroSA is making its impact, not only in job creation but in empowering the people as well.
It employs close to 2 000 people, while 27 500 more will be absorbed within the crude oil refinery that is planned for the Coega Industrial Development Zone, the project Mthombo.
This project will showcase our competitive ability to our counterparts globally, which is very important for our image as a country.
I understand that with Project Mthombo, this country stands to save an estimated R12, 6 billion a year in energy costs once the refinery is running, and could export oil across Africa.
Honoured guests,
We must also strengthen the partnerships that PetroSA is making with outside communities such as research institutions.
I am thinking here about the partnership that exists with the University of the Western Cape on oil related research, particularly the R36 million sponsorship provided to establish a Synthetic Fuels Research Facility at the university.
This will help bridge the gap between academic knowledge and practical involvement on the field.
This is not only much needed skills intervention. It is also part of opening up opportunities to previously disadvantaged institutions to enable them to make a significant contribution to economic development.
Ladies and gentlemen,
Before concluding let me remind you that PetroSA should play a central role in the achievement of the government’s transformation and empowerment agenda.
We need to ensure that historically disadvantaged South Africans participate meaningfully in the petroleum sector in this country.
Most importantly, let me emphasise PetroSA’s key responsibility, which is to help us realise our strategic objectives by developing and implementing security of supply initiatives and facilitating skills development through big projects.
Minister, ladies and gentlemen,
Thank you for this opportunity, we wish the entire team success with all the forthcoming projects.
I thank you.
