Namcor, oil firms agree on fuel shipment

MAJOR differences between Namcor and local oil companies have been sorted out and the first vessel carrying Namcor’s diesel and jet fuel is expected to anchor at Walvis Bay tomorrow.

This was confirmed to The Namibian yesterday by Namcor’s Managing Director Samuel Beukes. The fuel will be pumped into the fuel tanks of the local oil companies.The Managing Director of British Petroleum (BP), Sipho Zulu, said the vessels “had been vetted by BP” and met the minimum safety standards for vessels carrying petroleum products.Harald Schmidt, the CEO of Promax responsible for secretarial services to the local oil industry, said all aspects of the consignment had been discussed at an industry meeting on Monday and that the product would be landed.The vessel arriving tomorrow carries 22 000 tonnes of diesel and 2 000 tonnes of jet fuel.Another vessel carrying 14 000 tonnes of leaded and unleaded petrol is expected on Monday.The combined value of the fuel on board the two vessels is close to N$300 million.Schmidt told The Namibian that he was not aware of any problems with the consignment since the Monday meeting.At the end of last year, Namcor did not renew its controversial three-year oil supply deal with Namibia Liquid Fuels and awarded the multi-billion dollar tender to little-known Afroneft, which is backed by Glencore UK.But the first consignment valued at N$90 million delivered by Afroneft at the beginning of this month was rejected by local oil companies.They claimed the vessel did not meet international safety standards.After a week of wrangling, Namcor was able to sell the product to Afroneft at the same value and the vessel left Namibian waters on February 5 to return its cargo.Namcor had to foot the bill for transport and demurrage fees amounting to N$1,2 million.Meanwhile, BP’s Zulu has said he was unhappy with the way his company was portrayed in the Monday edition of The Namibian.The report said that BP was one of the companies which competed for the tender that was eventually landed by Afroneft.He said BP was not out to sabotage the local oil industry or Namcor’s deal with Afroneft.”We have always been supportive of Namcor,” he said.About the second consignment arriving tomorrow, Zulu said BP had vetted the two vessels carrying the latest consignment before the product was even loaded.However, the consignment would be subject to the standard specification tests before it was landed at Walvis Bay, Zulu said.”This is standard procedure,” he added.The fuel will be pumped into the fuel tanks of the local oil companies.The Managing Director of British Petroleum (BP), Sipho Zulu, said the vessels “had been vetted by BP” and met the minimum safety standards for vessels carrying petroleum products.Harald Schmidt, the CEO of Promax responsible for secretarial services to the local oil industry, said all aspects of the consignment had been discussed at an industry meeting on Monday and that the product would be landed.The vessel arriving tomorrow carries 22 000 tonnes of diesel and 2 000 tonnes of jet fuel.Another vessel carrying 14 000 tonnes of leaded and unleaded petrol is expected on Monday.The combined value of the fuel on board the two vessels is close to N$300 million.Schmidt told The Namibian that he was not aware of any problems with the consignment since the Monday meeting.At the end of last year, Namcor did not renew its controversial three-year oil supply deal with Namibia Liquid Fuels and awarded the multi-billion dollar tender to little-known Afroneft, which is backed by Glencore UK.But the first consignment valued at N$90 million delivered by Afroneft at the beginning of this month was rejected by local oil companies.They claimed the vessel did not meet international safety standards.After a week of wrangling, Namcor was able to sell the product to Afroneft at the same value and the vessel left Namibian waters on February 5 to return its cargo.Namcor had to foot the bill for transport and demurrage fees amounting to N$1,2 million.Meanwhile, BP’s Zulu has said he was unhappy with the way his company was portrayed in the Monday edition of The Namibian.The report said that BP was one of the companies which competed for the tender that was eventually landed by Afroneft.He said BP was not out to sabotage the local oil industry or Namcor’s deal with Afroneft.”We have always been supportive of Namcor,” he said.About the second consignment arriving tomorrow, Zulu said BP had vetted the two vessels carrying the latest consignment before the product was even loaded.However, the consignment would be subject to the standard specification tests before it was landed at Walvis Bay, Zulu said.”This is standard procedure,” he added.