As Angola’s president shakes up sector, Trafigura loses last oil deal
Trafigura has lost its last big contract in Angola, once a core market and revenue generator for the trading house, as the country’s new president Joao Lourenco part ways with oil firms that worked with his predecessor Jose Eduardo Dos Santos.
Trafigura, which declined to comment, lost the rights to sell Angolan fuel oil this year, with the contract going to French oil major Total, two trading sources said.
Fuel oil was the last major Angolan contract Trafigura had, with volumes of 1.1 million tonnes in 18 cargoes over 2017 worth some US$450 million. Total is now expected to market a similar amount for Angolan state oil company Sonangol in 2019.
“It is part of broader oil industry reforms that were ordered by Lorenco. The fuel oil contract change effectively completes this process on the trading side,” a source familiar with how Sonangol sells its oil and products told Reuters.
Ramaphosa doesn't believe SA will face sanctions
President Cyril Ramaphosa said on Tuesday there was no reason to believe that any country would impose sanctions on South Africa over the government’s plans to redistribute land to address racial disparities in ownership.
Ramaphosa announced in late July that the ruling African National Congress (ANC) plans to change the constitution to allow the expropriation of land without compensation, as whites still own the majority of South Africa’s land.
US President Donald Trump waded into South Africa’s high-octane land debate last month when he asked his Secretary of State Mike Pompeo to study South African “land and farm seizures” in a late-night tweet.
Kenyan shilling stable
The Kenyan shilling held steady against the dollar and was expected to strengthen due to inflows from remittances and offshore investors buying government debt, traders said.
At 0629 GMT, commercial banks quoted the shilling at 100.65/85 per dollar, same as Monday’s close.
Opposite side of Djibouti port terminal dispute to pursue all legal means
DP World said on Tuesday it would continue to pursue all legal means in its dispute with the government of Djibouti which seized a port terminal operated by the company earlier this year.
Djibouti this week nationalised shares held by the Port of Djibouti in the Doreleh Container Terminal, a joint venture operated by DP World until February when the government seized the terminal.
SA to deepen Durban port berths
South Africa’s Transnet said on Tuesday it will spend 7 billion rand (US$464 million) to deepen berths at Africa’s biggest container terminal in the port city of Durban to accommodate larger vessels.
Transnet, which operates nearly three-quarters of the African rail network, the bulk of which is in South Africa, aims to complete the work by 2023, it said in a statement.
Transnet said the project at the Durban port, which handles around 65% of South Africa’s container cargo, will include the reconstruction, deepening and lengthening of berths 203 to 205 for the larger ships.
The state-owned logistics firm has been embroiled in allegations of corruption involving procurement contracts worth around 54 billion rand.
It placed its chief executive and two other senior officials on suspension in August pending investigations.