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Mar 18, 2010

Real Economy Report

Real Economy Report 99
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From Creamer Media in Johannesburg, this is the Real Economy Report. Our top stories this week:
We talk to the CEO of South Africa's satellite manufacturing company;
We look at gas giant Afrox's new facility in Germiston;
And, Airbus gives its air traffic market forecast for the next 20 years.

Shannon de Ryhove:
South Africa's Sumbandila microsatellite, which is now operational, was designed and built in Stellenbosch. Keith Campbell reports.

Keith Campbell:
Sumbandila is a product of Sun Space & Information Systems, or SunSpace for short. Now that the satellite's commissioning process is over, what is next for the company? I put this question to SunSpace CEO Bart Cilliers.

SunSpace CEO Bart Cilliers

Shannon de Ryhove:
Gas and welding company Afrox's new commercial production plant, in Germiston, will contribute to its plans to expand into Africa. Lindsey Berry reports.

Lindsey Berry:
Afrox's new R100-million plant is aimed at producing speciality gases to high-precision standards and at an increased capacity. The facility is focused around a new brand, HiQ, which was developed in partnership with Afrox's parent company the Linde Group.

The plant will contribute to security of supply and consistent standards of gas production for multinational clients and will be particularly beneficial for expanding into the African market. Afrox speciality gases business manager Robert Carlton-Shields explains.

Afrox speciality gases business manager Robert Carlton-Shields

Lindsey Berry:
The speciality gases plant is part of Afrox's R1,5-billion capital expenditure programme. The plant was commissioned during the second half of last year and, after final tweaking in January and February, is now operating commercially.

Shannon de Ryhove:
European airliner manufacturer Airbus has unveiled its global market forecast for the next 20 years. Keith Campbell has the story.

Keith Campbell:
Worldwide, Airbus foresees a demand for 25 000 new passenger and freighter aircraft, worth some $3,1-trillion, between 2009 and 2028. Of these, more than 1 700 will be very large aircraft, or VLAs, like the company's A380 Superjumbo. Passenger air traffic is expected to grow at a rate of 4,7% a year, meaning it will double in the next 15 years. But what does the forecast say about South Africa and Africa? Andrew Gordan is Airbus' Director: Market Analysis.

Airbus' Director: Market Analysis Andrew Gordan

Shannon de Ryhove:
And now for a sneak preview of this week's Engineering News magazine:

As the new KwaZulu-Natal airport gets set for takeoff, some proponents and opponents are still at odds over whether it will truly offer any growth stimulus.

We report that by 2055, the Gauteng province will reduce its overall energy consumption by 18% and its carbon emissions by 49% in relation to 2007 levels.

And, the Department of Energy and the Department of Trade and Industry believe that the solar water heater market is set to grow rapidly in South Africa.

And in Mining Weekly this week:

In our cover story, we report that South Africa's Sasol is taking steps to join the global search for shale gas.

The mining division of the JSE-listed Basil Read construction group may be hived off into a separately listed entity.

And, we report that Zimbabwe has granted small-scale chrome-miners an 18-month period during which they can market the mineral directly without being bound by the ban imposed by government on raw chrome exports.

That's Creamer Media's Real Economy Report. Join us again next week for more news and insight into South Africa's real economy.


Edited by: Shannon de Ryhove
Creamer Media Senior Deputy Editor Polity & Multimedia
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