Jun 11, 2012
R20bn SA/Saudi Arabia venture targets mining, petrochemicals investmentsBack
Agriculture|Riyadh|Africa|Mining|Petrochemicals|Saudi Arabia South Africa Holding|Africa|Saudi Arabia|South Africa|Petrochemicals|Iron Ore|Iron-ore|Rob Davies|Tawfiq Al-Rabiah
© Reuse this
The establishment of the new joint holding company, Saudi Arabia South Africa Holding (Sasah), would seek to create mutual business opportunities in mining, petrochemicals and agriculture.
The holding company would be legally registered in South Africa and Saudi Arabia and would achieve the legal requirements of investment authorities and tax regimes of both countries. It might become a major shareholder in some strategic joint ventures, cochairperson of the Saudi Arabia South Africa Business Council Dr Iqbal Surve said.
Some companies had already indicated strong interest in the venture and he encouraged companies to approach the council to explore new funding opportunities.
The new partnership was in-line with South Africa’s strategy of seeking out new sources of investment and trade with dynamic economies, especially as trade and investment with most of South Africa’s traditional partners were either declining or stagnant.
Surve said that Sasah would enhance business activities between the two consortiums and improve the business relationships between Saudi Arabia and South Africa.
The new venture was initially launched during the fourth Saudi Arabian South African Joint Committee meeting held in Saudi Arabia’s capital, Riyadh, in April.
At the event, which was attended by Davies and his Saudi Arabian counterpart Minister Tawfiq Al-Rabiah, the two countries agreed to increase their total trade to a targeted R60-billion within the next five years.
Davies said the current total trade between the two countries stood at R34-billion in 2011. This represented a yearly growth rate of about 32.6% in one year.
Total trade in 2010 amounted to R26-billion.
He added that South Africa’s main exports to Saudi Arabia were oranges, iron-ore, ferromanganese, as well as machines and apparatus.
Edited by: Mariaan Webb© Reuse this Comment Guidelines (150 word limit)
Creamer Media Senior Researcher and Deputy Editor Online
Other Oil and Gas News
Article contains comments
Recent Research Reports
Water 2015: A review of South Africa's water sector (PDF Report)
Creamer Media’s Water 2015 Report considers the aforementioned issues, not only in the South African context but also in the African and global context in terms of supply and demand, water stress and insecurity, and access to water and sanitation, besides others.
Input Sector Review: Pumps 2015 (PDF Report)
Creamer Media’s 2015 Input Sector Review on Pumps provides an overview of South Africa’s pumps industry with particular focus on pump manufacture and supply, aftermarket services, marketing strategies, local and export demand, imports, sector support, investment...
Liquid Fuels 2015: A review of South Africa's liquid fuels sector (PDF Report)
Creamer Media’s Liquid Fuels 2015 Report examines these issues in the context of South Africa’s business environment; oil and gas exploration; fuel pricing; the development of the country’s biofuels industry; the logistics of transporting liquid fuels; and...
Road and Rail 2015: A review of South Africa's road and rail sectors (PDF Report)
Creamer Media’s Road and Rail 2015 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail infrastructure and network, the funding and maintenance of these respective networks, and...
Defence 2015: A review of South Africa's defence sector (PDF Report)
Creamer Media’s Coal 2015 report examines South Africa’s coal industry with regards to the business environment, the key participants in the sector, local demand, export sales and coal logistics, projects being undertaken by the large and smaller participants in the...
Real Economy Year Book 2015 (PDF Report)
There are very few beacons of hope on South Africa’s economic horizon. Economic growth is weak, unemployment is rising, electricity supply is insufficient to meet demand and/or spur growth, with poor prospects for many of the commodities mined and exported. However,...
This Week's Magazine
Additive manufacturing, better known as 3D printing, has the potential to completely change the relationships between individual consumers, professional designers and manufacturers. So argued Loughborough University Reader in Computer Aided Product Design Dr Ian...
Airbus Defence and Space: Military Aircraft has highlighted that its A330 Multirole Tanker Transport (MRTT) has significant commonalities with the Airbus A330-200 commercial airliner, upon which it is based. The South African Air Force (SAAF) once operated a fleet of...
Financial services provider Nedbank launched the second edition of its Carbon Footprinting Guide earlier this month, which is aimed at demystifying carbon footprint approaches and help readers grasp the main concepts of carbon measuring, monitoring, reporting and...
This year marks the thirtieth anniversary of Caterpillar’s first backhoe loader. This also coincides with the worldwide release of its latest-generation F2 series backhoe loader, which was launched at supply chain services company Barloworld Logistics’ Big Dig Day in...
A shortage of software engineers is leading to fewer information technology (IT) projects in private and public sector organisations. This also places a dampener on the economy, as IT is an integral part of business and civil service, says University of Witwatersrand...