South Africa’s logistics giant Transnet through its pipeline division is now eyeing the East Africa market for expansion the first time the company has sought to invest outside the country OilNews Kenya can reveal.
The company’s division which specializes on the fuel and gas pipeline business, pumps and storage of petroleum and gas products through its network of high-pressure, long distance pipelines says it has on its focus projects in Kenya, Uganda, Tanzania, Ethiopia and Djibouti.
Transnet pipelines formerly known as Petronet says it is speaking to various companies with projects in the region with the aim of helping them with maintenance and operation.
“If possible we want to come in even before the project starts so that we can influence the design to enable the pipelines operate effectively,” Saret Knoetze Manager Public Relations, Communication and Marketing at Transnet told OilNews Kenya.
Some of the projects that Transnet has expressed interest include the new Kenya refined products pipeline currently under construction by Zakeem as well as the Ethiopia Djibouti Blackstone-backed fuel pipeline.
Transnet is also in talks with the regions pipeline companies so as to provide training through a transfer program that will see the firms send their students to its facility or through provision of trainers and exchange programs where corporations have their training facilities.
‘As a company we have recognized that the only way that we can grow beyond where we are is to expand and East Africa provides the most opportunities right now,”Saret adds.
In South Africa Transnet handles an annual average throughput of some 16 billion litres of liquid fuel (diesel, leaded and unleaded petrol and aviation turbine fuels) and more than 450 million cubic metres of gases. Transnet pipelines’ network of about 3800 kilometers transports 100% of South Africa’s bulk petroleum products as well as providing the Natref inland refinery all of its crude oil requirements.