Oryx Energies to purchase South African LPG businesses

20 March 2013

Oryx Energies has agreed to purchase the Liquefied Petroleum Gas (LPG ) distribution businesses in South Africa of BP and Masana Petroleum Solutions (of which BP owns a 45 percent stake). The deal is expected to be completed during Q3 2013, subject to completion of all the required legal and regulatory approvals.

The deal marks an important step in the roll out of Oyx Energies' regional LPG strategy. Together, the businesses represent annual LPG sales of almost 60,000 tonnes. BP supplies a wide range of industrial, commercial and domestic customers with nearly 40,000 tonnes of bulk, cylinder and aerosol LPG, while the Masana LPG business serves large commercial and industrial consumers with 20,000 tonnes of bulk LPG. 

Over 45 employees based in Johannesburg, Cape Town, Pretoria and Durban will transfer to the local Oryx Energies affiliate, Oryx Oil South Africa (Pty) Ltd, on completion of the deal. 

We plan to invest strongly in South Africa to meet the growing energy demand of this major economy, under the Oryx Energies brand. We aim to capitalise on local know-how and leverage our integrated energy model to offer a reliable supply, and high product and service quality to customers across the country. 

Following the purchase of Engen Uganda in November 2012, this acquisition confirms our commitment to expanding our integrated trading and downstream platform, in response to the evolving energy needs of sub-Saharan Africa. It also reflects our strategy of promoting LPG as a modern replacement for firewood, charcoal and kerosene across the continent - a strategy we have pursued since the late 1990s. 

We look forward to welcoming all the BP and Masana Petroleum Solutions LPG employees into the Oryx Energies family and to building the critical mass to meet the energy needs of South Africa. 

For more information, read press release below: