I hope the remaining sane people left in south africa and rhodesia get together and stage a counter-coup and take their nations back. They have the potential to be still great nations and to be the nucleus for a sub saharan super power.
http://www.megweb.uct.ac.za/Iresearch/Intro/oil_industry.htm
Industry Research Project
The Oil and Petrol Industry
Introduction
South Africa is the leading economic power in Africa as well as a key player in the African oil industry. Liquid fuels are an important component of the South African energy sector.
The history of South Africa's oil industry goes back to 1884 when the first oil company was established in Cape Town to import refined products. Since then the industry has grown and matured. Today the country processes approximately 20 million tonnes per annum of crude and consumes 23 million tonnes of liquid fuel products of which 45 % is gasoline and 26% diesel. In 1999 imports of Petroleum Oils cost a total of R12,764,946000.
Oil Extraction
Until the 1990s, the upstream oil industry did not exist. There are currently small producing oilfields off the South East coast of South Africa. A nearby gasfield provides the raw materials for a synfuels plant at Mossel Bay. The development of the Mossgas project was subsidised by the Fuel Equalisation Fund at a cost of R523 154 000 up to 31 March 1997. A gasfield has been discovered off the West coast of South Africa and exploration continues in a number of offshore areas. There are plans to pipe gas from Mozambique and Namibia to South Africas industrial heartland. Because so much oil is imported the local price of petrol is crucially affected by international crude oil prices which in term depend on production decisions by the major oil producing nations which run OPEC as a cartel. OPEC quite rightly disclaim responsibility for high petrol prices.
Importance of coal
Because of South Africa's abundant supplies of cheap coal, liquid fuels only provide 21% of the energy requirements of the country. For the same reason South African refineries have extensive upgrading capability in order to maximise the production of gasoline and diesel at the expense of fuel oil which is primarily used for bunkering. Oil from coal synfuels plants owned by Sasol provide a significant proportion of South Africas liquid fuels. The major liquid fuel markets are in the Gauteng area of South Africa, so companies with easy access to this region from their manufacturing plants are at a strategic advantage.
Transformation
The South African oil industry is in the throes of transformation from the industry that served the apartheid era of secrecy and boycotts to a model more in line with the democratic and economic needs of the new South Africa. An empowerment consortium called Worldwide Africa Investment Holdings recently bought a 20% share in Engen. This is the first time that a black-controlled company has gained a significant interest in an SA oil major.
The Petrol Price
This is determined by several factors including the world cost of crude oil, taxation by central government and subsidisation of Sasol's operations. The Central Energy Fund administers the Fuel Equalisation fund which starts to run at a loss when crude oil prices increase and the exchange rate of the Rand depreciates. Eventually this triggers a decision to increase the petrol price. Nevertheless there is an argument to suggest that the South African fuel price is still cheap by international standards. Any change in the world market oil price is watched very closely by the Governor of the Reserve Bank because of the implications for monetary policy. The petrol price increased again from midnight on 1 August.
Key Organisations
The major petrol refining and distributing firms operating in South Africa are: BP Southern Africa (Pty) Ltd; Caltex Oil (SA) (Pty) Ltd; Engen Petroleum Ltd; Shell South Africa (Pty) Ltd; Total South Africa (Pty) Ltd and Zenex Oil (Pty) Ltd. The South African Petroleum Industry Association (SAPIA) was formed in July 1994 by these 6 companies to represent the common interests of the petroleum refining and marketing industry in South Africa; and to promote understanding of the industry's contribution to economic and social progress with all stakeholders.
The Retail Motor Industry organisation and NABFRA are groups representing service station owners. The CWIU, SACWU and NUMSA are unions active in the oil industry and have achieved a central bargaining unit for the oil and chemicals industry.
Sources:
Mbendi Oil Industry Profile
!!!New!!!
Article on Labour in the Petrol Industry
High Octane, Low Wages (Mail and Guardian 21/07/2000)
Articles on the Oil Price
Oil Tumbles as USA Taps Strategic Reserves
Opec's Last Chance to extract high Prices (Business Report 10/09/2000)
Oil Prices at 10 Year High (Business Day 21/09/2000)