Cape Town, 05 July 2011 – PetroSA is forging ahead with plans to create international partnerships that advance the goal of securing fuel supplies for South Africa, with an announcement it has concluded a Memorandum of Understanding (MoU) with the Korea National Oil Corporation (KNOC).
The MoU will ensure the two companies cooperate in the exchange of commercial and technical information on hydrocarbon exploration and production in Africa. The two national oil companies will also explore investment opportunities in the oil and gas sector in South Africa and the continent.
The MoU also sees the two companies establishing a working group to evaluate opportunities that may arise.
PetroSA is the national oil company of South Africa. It operates the world’s first Gas-To-Liquids (GTL) refinery, which is based at Mossel Bay. The company is recognised as one of the world’s leaders in GTL technology. PetroSA has extensive exploration activities in South Africa and has acreage in Namibia and Equatorial Guinea.
Nkosemntu Nika, the PetroSA Acting President and CEO, said the MoU represented renewed focus by the company on establishing international partnerships which advance its goal of being a significant African energy player.
“At PetroSA we understand that to meet our mandate we need to establish partnerships with credible and well-established firms. These, we are convinced, will benefit PetroSA and the country in the long term,” he said.
“KNOC has a long and prestigious track record. The opportunity to explore joint projects with them is a significant milestone for PetroSA. We plan to use our proven technologies and extensive understanding of both South Africa and the continent in order to ensure that we advance the goals of this MoU and PetroSA,” Mr Nika added.
KNOC is a State-run oil company of South Korea and was established in 1979. To date the company has carried out 210 projects in 25 countries. Over the years it has conducted extensive exploration activities in such areas as shale oil and the deep seas.
KNOC Chief Executive Officer Kang Young-Won said Africa is the most important strategic region for KNOC to achieve its strategic “Great3020” goal. The Great3020 goal is the company’s strategic vision of achieving 300 000 barrels of daily production and two billion barrels of reserves by 2012.
“The MOU with PetroSA will give KNOC a golden opportunity to advance into African regions. I sincerely hope the cooperation between PetroSA and KNOC will bring about substantial business performance in the near future and also contribute to economic development of both countries,” Mr Kang said.
The MoU with KNOC follows a recent signing of a similar agreement last month between PetroSA and Eni, the Italian integrated energy firm. The PetroSA-Eni MoU ensures that the two companies will evaluate the eventual acquisition by either party of participating interests in upstream projects for the development of both conventional and unconventional hydrocarbons.
For more information contact:
Mr. Hyunsoo Seong
Tel: +82 (0)31-380-2152