SA’s oil refineries to stay shut
SOUTH African plants owned by Glencore and Petroliam Nasional Bhd that make up 43 percent of the nation’s oil-refining capacity are expected to stay shut until at least 2022, according to energy consultant Citac.
Astron Energy, a unit of Glencore, has yet to restart the 100 000 barrel-a-day Cape Town refinery after a deadly explosion and fire in July.
Petronas unit Engen’s Durban plant also stopped production in December after a fire.
The closures will force South Africa to rely heavily on fuel imports. All four of South Africa’s oil refineries — with a total capacity of more than 500 000 barrels a day — have had accidents or are under review, with the industry already hit hard by the Covid-19 pandemic.
A pending national clean-fuels policy is also likely to increase costs to upgrade machinery. — Bloomberg