The Natref oil refinery in Sasolburg, which was damaged in a fire in June, will reopen next week.
The Natref oil refinery in Sasolburg, which was damaged in a fire in June, will reopen next week.
The closure of the Sasol refinery sparked a recent fuel shortage in the inland areas of the country that has still not been sorted out.
Natref accounts for 11 per cent of the country’s fuel. With the refinery out of commission, veld fires and snow in the KwaZulu-Natal area (which affected the transport of fuel to Gauteng) worsened the shortage.
“We have had a situation in which depots are running out of stock. There are sporadic shortages and demand is proving to be quite high,” said Colin McClelland, director of the South Africa Petroleum Industry Association. He said shortages were likely to continue for another month despite the reopening of Natref. “We need about 10 days of stocks. Even when the plant is running at full capacity, it will take about 10 weeks to build 10 days of stock,” McClelland said.
The demand for petrol is also likely to increase ahead of the 13c a litre petrol price increase next Wednesday.
Sasol spokesman Alfonso Niemand said the effect of the enforced shutdown at Natref on its operating margin was R80 million, which was limited to insurance costs. Two people were killed during the fire at the refinery on June 6. Niemand said the facility would reopen in the first week of October.