Data provided by McGregor BFA
All data is delayed
Loading...
See More

SA cuts all Iran crude imports

Aug 31 2012 15:00 Reuters

Related Articles

SA looking to Nigeria for oil

Engen buying crude from Saudi

SA ups oil from Iran despite US pressure

SA pressured to cease Iran oil imports

Engen turns to Saudi for crude

India replaces China as Iran’s top oil buyer

 

Johannesburg - South Africa imported no crude oil from Iran in July, customs data showed on Friday, a sign Pretoria is avoiding Iranian shipments until it can be certain to avoid European sanctions.

In May, imports from Iran stood at 285,524 tonnes, but since June, Africa’s biggest economy has replaced shipments from Iran with crude from other suppliers, especially Saudi Arabia.

South Africa used to import a quarter of its crude from Iran but has come under Western pressure to cut the shipments as part of sanctions designed to halt Tehran’s suspected pursuit of nuclear weapons.

Imports of crude from Saudi Arabia stood at 966,607 tonnes, slightly lower than the 1.17 million tonnes recorded the previous month, with other supplies coming from Nigeria, Angola, United Arab Emirates, Israel and France. Total imports stood at 2.1 million tonnes.

Even though the United States granted South Africa an exemption from financial sanctions after cuts in Iranian imports in recent months, Pretoria was still facing problems because of sanctions from the European Union, which does not provide any waivers.

Following talks with the European Union earlier this month, Foreign Minister Maite Nkoana-Mashabane said South Africa would send a delegation to Europe to explain the impact possible sanctions would have on fuel supplies in the country and the region and explore alternative solutions.

Energy Minister Dipuo Peters has said that South Africa was also talking to Tehran about the prospect for Iran to insure its crude oil cargoes, which can no longer be underwritten by European insurance firms due to sanctions.

It is to be seen whether South Africa will continue to keep imports from Iran at zero. The country already cut all shipments from that country in January this year but resumed them again the following month.

The United States will also be watching to see if South Africa continues to keep imports from Iran at bay. 

When comparing monthly averages over a six-month period, South Africa imported around 249,115 tonnes of crude from Iran per month in the January to June period, compared with 282,688 tonnes in the preceding six months.

Some South African refineries are designed to treat Iranian-type crude only, and analysts say they will be hard-pressed to replace those supplies with other products.

Any disruption to crude imports could hit fuel supplies in South Africa, which has suffered shortages in the last year because of strikes and refinery problems.

Refiners in South Africa include Shell, BP, Total, Chevron, petrochemicals group Sasol [JSE:SOL], and Engen, which is majority-owned by Malaysian state oil group Petronas.


* Follow Fin24 on Facebook, Twitter and Google+.


 
iran  |  oil imports
NEXT ON FIN24X

 
 
 

Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
4 comments
Add your comment
Comment 0 characters remaining
 

Company Snapshot

We're Talking About: Small Business

Standard Bank is looking for 12 entrepreneurs to participate in a 10-part TV series. They could win a R1m investment into their dream.
 
 

DA chatting up EFF ahead of elections

The DA in Gauteng is flirting with the Economic Freedom Fighters ahead of the elections, in what could end up as a coalition of strange bedfellows.

 
 

Latest elections multimedia

Why Jack Parow wants you to vote on 7 May
The ad the SABC doesn't want to air
Elections 2014 in one cartoon
This year's election posters

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...
Loading...