Latest News

"Talking Points"

'Let's Go It Alone'
-    Source Cape Business News  15/08/11
The City should go into partnership with the private sector to build a gas-fired power station …. This suggestion was made by Mr Michael Bagraim, President of the Cape Chamber of Commerce at “Business Meets the City of Cape Town” symposium recently.

'PetroSA Urged to Move on the Mthombo Project'
-    Source Petroleum Africa 12/08/11
The committee on economic development selected by the National Council of Provinces in South Africa is urging state-run oil and gas firm PetroSA to get moving on its planned Mthombo refinery.

IPAP2  Industry Policy Action Plan
-    Source Dti, South Africa
Minister Rob Davies confirms that OIL & GAS is now a priority sector under the new IPAP2 for 2011-2013/2014 released earlier this year.

'PetroSA, Korea National Oil Corporation to Partner on African Prospects'
-    Source Engineering News 15/07/11

Eni and PetroSA sign Memorandum of Understanding for co-operation in South Africa and abroad. (Upstream)
-    Source www.eni.com web site, 20.6.2011

The Fracking Debate Continues.....
-    Numerous sources
An area of on-going debate to be addressed at the 2012 conference.

Anadarko encounters gas offshore Mozambique
-    Engineering News, supplied by Reuters, 22.8.2011

'PetroSA in Urgent F-0 Gasfield Push …..’
-    Source Engineering News, 05.11.2010

'PetroSA Approves US$1bn Offshore Gas Project’
-    Source Fin24, 23.11.2010

'IDC to Invest ZAR102bn to Boost Industry'
-    Source Engineering News/Reuters, 12.04.2011
… the IDC will invest R102 billion over the next five years to boost the industrial sector, Economic Development Minister Ebrahim Patel said….

'FDI into Africa on the Up'
-    Source Ernst & Young Newsletter 03.05.2011
Johannesburg  3 May 2011. Foreign Investors see the huge long-term growth possibilities that Africa presents according to Ernst & Young's first Africa Attractiveness Survey which combines an analysis of investment into Africa over the last decade with a survey of 562 global executives on their views about how and where their investment will take place in the next decade.

SALDANHA BAY’s STAR IS RISING.

‘The port of Saldanha Bay represents a green-field opportunity’ reads the Marintek Report. This report, produced by Norwegian experts, was commissioned in 2009 by the South African Oil & Gas Alliance (SOAGA).The report goes on to say ‘However, it lacks almost all the necessary infrastructure’. The port of Cape Town has, on the other hand, already evolved as a major logistics point for Antarctic expeditions and, in recent decades, for the offshore oil & gas (O&G) sector. But Cape Town also has its limitations – the Marintek Report states that the dry-docking capacity and facilities do not meet the docking requirements of modern rigs, FPSO’s and drilling vessels also the limited draft at the designated berths is inadequate for deep-drafted vessels. Over the coming decades hundreds of billions of dollars will be spent exploring, developing and producing fields in West, South & East Africa according to SAOGA, a semi-government organisation who are actively initiating a vision and strategy to position South Africa as the hub of an African supplier sector that contributes a substantial and growing share of the input to the regions upstream O&G projects. A major first step was recently taken, with the announcement that the oil & gas service sector has now been included in the revised Industrial Policy Action Plan (IPAP 2) by national government. The task of creating a national strategy for participating in this sector will now be taken forward by SAOGA, together with the DTI and industry role-players, to fill the policy void that previously existed at national government level. What does this mean for the port of Saldanha Bay - geographically well-positioned near the tip of Africa and close to Cape Town, within an extensive Bay, a 23 metre deep entrance channel, a weather-sheltered anchorage, a vast area of open land for establishing an industry base both in the port and in the port hinterland - yet lacking in almost all the necessary infrastructure for the O&G offshore industry. Transnet Port Terminals (TPT) Saldanha Bay has risen to the challenge by allowing rigs to berth alongside at the multi-purpose terminal where there is adequate draft and a large lay-down area. The oil & gas service providers, from marine engineers, to crane operators, to catering companies & ship chandlers, have established themselves in this area with office, storage and mess facilities to accommodate all project personnel. The rig ‘Celtic Sky’ is currently alongside and working. At this time there is no disruption to normal cargo activities at the multi-purpose terminal as it is operating efficiently within its design capacity. By accommodating the rigs there is little risk of delays to usual callers at the terminal and, moreover, the better utilisation of ‘dead space’ is bringing in additional revenue to the port, the economy and, most importantly, creating job opportunities for an impoverished local community. A classic case of, ………‘making use of what you’ve got’. There are many more economic development ideas for the Saldanha Bay region in the pipeline, particularly in the minerals beneficiation sector. These future plans, together with the volume of business within the maritime and O&G industries today, will spark a more detailed planning of facilities, both in the port and in the port hinterland. The wooing of foreign & local investment capital to leverage and activate this vision has already realised an application of land for an oil & gas supply base, a landing facility for LPG and the storage of LPG for other liquid cargoes. A world-class, multi-facetted port is envisaged as a vital hub in the wheel of development in Saldanha Bay – the course is being set; focussing on whatever is required by the customer is necessary; then the vision has to be embraced by people who can make it happen. Future issues of MARITIME SOUTHERN AFRICA will include information on the vision and strategic planning for this port, as it evolves and grows.

By Graeme Clemitson, Saldanha. 10 April 2011.