Trade & SupplyLeading petroleum & gas company
Trade & Supply
Source and procure supplementary feedstock and blend stock for the refinery and also purchases finished product to meet sales demand gap. PetroSA trades in condensate, crude oil, fuel, and petrochemical products. responsible for the security of supply .
When PetroSA gas reserves ran below the minimum limit for the GTL plant to operate in Dec 2020; the business model of PetroSA had to change. What was once a gas-to-liquids business model has now changed to a trading business model. This is due to the current situation where the GTL plant is not operational, the trading business has become the core business of PetroSA.
The short-term plans are to expand the business by selling 3.5 billion litres of diesel and Petrol and to eventually add a retail network to the business model. We will follow a phased approach through organic growth and acquisitions. The initiative involves increasing our customer base through partnerships and acquisitions targeting the Reseller customer base and this will enable our penetration into the retail market to build a significant customer base. The focus will also be given to accessing storage facilities in key strategic markets such as Durban, Gauteng, and Cape Town, the expansion of the product offering into the lubricants and LPG business.
The trading strategy will continue to focus on the sourcing of refined products to meet the supply commitments of existing customers and to satisfy the growing demands of new customers as sales growth through market penetration of wholesale and retail markets materialise. PetroSA will seek to engage its shareholders to continue playing a critical role in providing security of supply through the designation of up to 60% of the importation of refined products for the country. PetroSA will also pursue opportunities to collaborate with smaller resellers to facilitate organic growth.