Speaking at the launch of the South African National Petroleum Company (SANPC) in Sandton, Mantashe outlined the company’s role in strengthening petroleum production, including oil and gas, while ensuring national energy security.

The formation of SANPC aligns with President Cyril Ramaphosa’s 2020 State of the Nation Address, in which he emphasised the need to stabilise and refocus State-Owned Entities to drive economic growth and development.

Mantashe highlighted that SA has seen continuous growth in fuel imports since 2009 due to the closure of local refineries, a trend the government is keen to reverse.

“Since 2009, SA has experienced year-on-year growth in fuel imports relative to local production because refineries have been closed,” Mantashe said. “Our view is that those refineries must be made to work, and we must develop our own refinery capacity.”

Mantashe also underscored the importance of good governance in managing the petroleum sector, stating that sound regulatory frameworks are essential for minimising operational and financial risks.

--SABC/ChannelAfrica--