Total SA in R140m expansion project
26 April 2013
Energy firm Total South Africa will invest R140-million over two years to upgrade its
blending plant and expand the capacity of its fuel depot at Durban's Island View
Terminal facility, it announced on Wednesday.
The investment follows the signing of a 15-year lease with Transnet National Port
"We see this as a major vote of confidence in South Africa, as well as in other
countries in southern Africa, as some of the additional lubricants we will be blending
will be exported to Southern African Development Community countries, which we
see as a growth market for our lubricants," Total South Africa's CEO, Christian des
Closieres, said in a statement.
Work on the plants is expected to be complete by the end of 2014.
"Our roots in South Africa go back to the mid-1950s and we are committed to
growing our business in South Africa and southern Africa through sustainably growing our infrastructure and
distribution channels in the fuels and lubricants markets," said Des Closieres.
The blending facility upgrade will cost approximately R50-million and focus on
modernising filling lines, an on-site laboratory and improving health and safety
features and quality control measures.
Expansion of the fuel storage depot will cost about R90-million and will allow 26% of
fuel to be stored on-site.
It is expected that the expansion will lead to an improved integration into national
infrastructure such as the New Multi Product Pipeline.
"We view this big investment in South Africa as further evidence of the successful
partnership we have with our local shareholders in South Africa," he said. "It also
demonstrates our ongoing emphasis on health and safety quality control and catering
for future growth."
Total South Africa's local shareholders are black empowerment investment holding
firm Tosaco and Johannesburg Stock Exchange-listed Remgro
It is the first subsidiary of an international petroleum company to comply with the
ownership criteria of the Liquid Fuels Charter.