(Photo: Sameer Al-Doumy / AFP)
The Department of Mineral and Petroleum Resources says there is no immediate danger of fuel shortages in South Africa, despite tensions in the Middle East and rising international oil prices.
The department says it is in “close contact” with oil companies doing business in the country to ensure the stability and security of fuel supply.
“The department monitors the developments in the Middle East and the possible impact on global oil markets and fuel prices,” the department says in a statement.
The department says that although geopolitical tensions may put pressure on international oil prices, there is no reason for immediate concern about the availability of fuel.
Despite the closure of several refineries in South Africa in recent years, South Africa still has two operational crude oil refineries, Natref and Astron Energy, as well as Sasol’s coal-to-liquids plant at Secunda, which plays a major role in local fuel production.
The Astron Energy refinery is currently undergoing planned maintenance work.
Oorlog in Iran. (Photo: RABIH DAHER / AFP)
However, the department says the company has already secured enough fuel imports to meet the country’s needs during this time.
Meanwhile, a sharp rise in fuel prices is expected.
According to the department, the continued increase in international crude oil prices could lead to higher fuel prices in April.
Oil companies that at this stage import refined petroleum products from countries affected by the conflict are also investigating alternative sources of supply to ensure availability in the local market.
The department says it remains optimistic that tensions will ease in the near future, which will help stabilize global oil markets and lower fuel prices.