Market & Company Research Store > Details

Year: 2012

Contents: 6 pages

Country: South Africa, Mozambique

Sector: Oil and Gas (Energy)

PETROMOC Partners with South African Consortium to Increase Fuel Supply Capacity to South Africa – Deal Analysis from GlobalData

Summary

PETROMOC entered into partnership with a South African consortium and formed a new joint venture company, Petroline Holdings (Petroline), for an oil pipeline linking Johannesburg to the port of Maputo, worth $620m. The pipeline was earlier scheduled to be commissioned before 2010. PETROMOC holds 40% stake in Petroline. The consortium consists of Gigajoule International (Pty) Ltd. (Gigajoule) with 20% stake; WOESA Consortium (Pty) Ltd. (WOESA) with 25% interest, and Companhia de Desenvolvimento de Petroleos em Mocambique (CDPM), which holds a 15% stake in the joint venture.

The proposed 450km pipeline has an annual capacity to transport 3.5 million cubic meters (MMcm) and is expected to facilitate fuel imports to Johannesburg, South Africa, via Mozambique's Maputo port.

Scope

- Rationale behind PETROMOC entering into partnership with a South African consortium and formed a new joint venture company, Petroline Holdings
- Geography Covered- South Africa and Mozambique

Reasons to buy

- Develop a sound understanding for PETROMOC to enter the JV
- Issues related to delay in the construction of Pipeline
- Advantages to South Africa and Mozambique through this Pipeline

Keywords

PETROMOC, joint venture, Petroline Holdings (Petroline), Johannesburg, Maputo port, Gigajoule International (Pty) Ltd. (Gigajoule), WOESA Consortium (Pty) Ltd. (WOESA), Companhia de Desenvolvimento de Petroleos em Mocambique (CDPM), South Africa, Mozambique
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