Partnerships are one of several initiatives embattled national oil and gas company PetroSA will work towards as it tries to turn its financial position around, the State-owned group said on Thursday.
Days after reports emerged that the parastatal planned to sell up to 49% in equity stakes in some ten offshore blocks, PetroSA clarified that it was exploring various partnership options to “unlock value for its assets across the value chain”.
“Partnership options for PetroSA do not equate to a sell-off of State assets, but are rather a cost-effective means of diversifying risks with identified partners and driving revenue and value creation,” PetroSA acting CEO Mapula Modipa said in a statement following an influx of media queries.
PetroSA was currently examining several initiatives aimed at streamlining its operations, improving efficiencies and sustaining the business as it battled tough operating conditions, highly constrained finances, a sharp fall in crude prices and a lack of feedstock for its gas-to-liquids refinery in Mossel Bay.
“PetroSA will leverage these partnerships to ensure security of liquid fuels for the country and ensure they contribute to economic development, job creation and transformation,” Modipa commented.
The group earlier this week announced the introduction of voluntary severance packages to reduce operational costs after incurring a R14.9-billion loss in the 2014/15 financial year.