Afric Oil now owns 1% of the total distribution. How did this evolution occur?

The government helped as a result of the Black Economic Empowerment. Afric Oil won a sizeable contract to supply TransNet in the late nineties. Many companies were pushed to give a slice of the supply market to Black companies and Afric Oil took advantage of those opportunities to build itself slowly but surely. Perhaps we should have gone further but it is a difficult industry and many things still need to be done to reach the transformation level required. A large part of the industry is still controlled from outside of South Africa.

Afric Oil is using the platforms that are available to remind people transformation is necessary for the future of South Africa. The government must be very strict in terms of implementation, and to create a market for Black entrepreneurs.

What are the changes the petroleum and liquid fuels industry has faced in South Africa?

The liquid fuels industry in South Africa started in the 50s and 60s. At that time, South Africa didn’t have oil processing experience and looked to create an industry that involved the investment from foreign companies and the government. When the Black Economic Empowerment policy was introduced, Afric Oil came onboard. Of course at this point the industry was already structured so we have had to compete with this.

Does Afric Oil have the infrastructure and capacity to handle a bigger market share than it currently has?

South Africa has a very well developed capital market. We have prestigious companies listed on the JSE, and our regulations are recognized globally. Afric Oil does not yet have the capacity to take over a bigger share but we build our capacity on our resources. However, we have the knowledge to run a bigger organization and we have demonstrate our ability to be prudent when necessary.

Afric Oil could be in the JSE in the next 3 to 4 months. If that transition is not successful, then we will do our own IPO program. However, that means we will have to delay it for 1 or 2 years.

Do you think taking the company to the JSE listing will outshine what you have achieved this far?

The biggest achievement is still way ahead of us. The JSE listing will be just one step in this process. We are looking at getting at least 10% of the market share in South Africa, by being a distributor that can run things straight from the refinery into a service station without seeking assistance from someone else. That will be the achievement for Afric Oil.

Which countries would you like to expand into?

The first region we are looking at is the SADC: Namibia, Botswana, Zimbabwe, Malawi, Zambia and DRC. We already have our own retail station in Zimbabwe. The growth there will depend on the political situation, but we have the right infrastructure. In Zambia and DRC, the company is present but we don’t really operate on the ground. We are also looking at opportunities in Namibia and Botswana. 

Do you see Afric Oil as a successful example of the social economic transformation in South Africa?

We want to be role models for other industries. Afric Oil was the first company in this industry, yet all this has to be done slowly. if we can win that psychological battle, we will reach the next stage to ensure social support. In South Africa, there is a lack of self-belief amongst our peers – this is what we need to conquer. Socially South Africa has to succeed – and succeeding means standing up and doing something. 

Does Afric Oil have the infrastructure and capacity to handle a bigger market share than it currently has?

South Africa has a very well developed capital market. We have prestigious companies listed on the JSE, and our regulations are recognized globally. Afric Oil does not yet have the capacity to take over a bigger share but we build our capacity on our resources. However, we have the knowledge to run a bigger organization and we have demonstrate our ability to be prudent when necessary.

Afric Oil could be in the JSE in the next 3 to 4 months. If that transition is not successful, then we will do our own IPO program. However, that means we will have to delay it for 1 or 2 years.

Do you think taking the company to the JSE listing will outshine what you have achieved this far?

The biggest achievement is still way ahead of us. The JSE listing will be just one step in this process. We are looking at getting at least 10% of the market share in South Africa, by being a distributor that can run things straight from the refinery into a service station without seeking assistance from someone else. That will be the achievement for Afric Oil.

Which countries would you like to expand into?

The first region we are looking at is the SADC: Namibia, Botswana, Zimbabwe, Malawi, Zambia and DRC. We already have our own retail station in Zimbabwe. The growth there will depend on the political situation, but we have the right infrastructure. In Zambia and DRC, the company is present but we don’t really operate on the ground. We are also looking at opportunities in Namibia and Botswana. 

Do you see Afric Oil as a successful example of the social economic transformation in South Africa?

We want to be role models for other industries. Afric Oil was the first company in this industry, yet all this has to be done slowly. if we can win that psychological battle, we will reach the next stage to ensure social support. In South Africa, there is a lack of self-belief amongst our peers – this is what we need to conquer. Socially South Africa has to succeed – and succeeding means standing up and doing something.