South Africa is preparing a plan to recover part of its oil refining capacity in a bid to reduce its growing dependence on imported fuels, with approximately 49% of the country’s refining installations currently inactive.
The Central Energy Fund (CEF) intends to rebuild the Sapref refinery, located south of the port city of Durban. The facility ceased operations after being damaged by floods that struck KwaZulu-Natal province in 2022.
According to the CEF, the first phase of the project aims to restore the refinery’s capacity to process 400,000 barrels of oil per day. In a second phase, capacity could increase to 650,000 barrels per day, subject to investment materialising and the necessary approvals being obtained.
The fund did not, however, provide details on project financing or the expected timeline for execution.
The rehabilitation of Sapref is expected to significantly boost the country’s refining capacity and help reduce dependence on fuel imports. Currently, approximately 61% of South Africa’s fuel supply relies on imports, compared with 22% in 2019.
Africa’s largest economy currently operates only two crude oil refineries: Sasol’s Natref facility and Astron Energy’s plant in Cape Town. Together, the two installations have the capacity to process approximately 208,000 barrels per day.
In addition to these units, Sasol’s Secunda plant uses coal to produce liquid fuels and processes around 150,000 barrels per day. With the rehabilitation of Sapref, the additional capacity envisaged by the CEF would more than double the country’s current oil processing and fuel production capacity.
“South Africa cannot lose sight of the strategic importance of domestic refining capacity,” said CEF chief executive Tshepo Mokoka.
While the refinery rehabilitation progresses, the fund intends to utilise existing storage tanks and transfer infrastructure to strengthen the country’s capacity to receive and handle imported fuels.
The initiative comes amid growing concern over South Africa’s energy security, as the decline in domestic refining capacity has increased the country’s exposure to imports and to fluctuations in international fuel prices.
Source: Diário Económico
Original article: https://www.diarioeconomico.co.mz/2026/09/10/mundo/africa/africa-do-sul-prepara-relancamento-da-refinacao-de-petroleo-para-reduzir-dependencia-das-importacoes/
