Bidvest Tank Terminals and independent LPG specialists and traders Petredec have announced the commissioning of the R1 billion mounded liquid petroleum gas (LPG) storage facility in Richards Bay, KwaZulu-Natal, South Africa.

The first parcel of LPG – arriving on a Petredec gas carrier from the Gulf of Mexico – was offloaded to the site in early October, and the loading of trucks for distribution throughout South Africa and to neighbouring countries commenced. Petredec will facilitate the wholesale distribution of imported LPG through local subsidiary Petregaz.

David Leisegang, managing director of Bidvest Tank Terminals, which is a South African bulk liquid and gas operator, said: “The project, which broke ground on 25 October 2018, has come in on budget and with only slight delays in its finalisation as a result of travel and other restrictions associated with the COVID-19 pandemic. Despite locking down the site for 45 days to ensure the safety of staff, we are not far off our anticipated commissioning date, which is testament to the hard work of all involved.”

The 22,600 t storage facility is a pressurised LPG import terminal, guaranteeing year-round availability of LPG to South Africa and neighbouring countries. The facility’s four LPG storage tanks are each 60 m long and 16 m in diameter.

Dedicated 24 h road tanker and railcar loading facilities will ensure constant supply throughout Southern Africa. This is anticipated to have a positive impact on the South African economy.

Mpumi Madisa, chief executive of the Bidvest Group, added: “It is more important than ever for South Africa to secure a reliable and cost-effective energy mix to drive real gross domestic product (GDP) growth in order to create employment and prosperity for all. We anticipate that the stability of supply made possible by this R1 billion facility will stimulate the expansion of the LPG value chain, thus creating myriad opportunities for small, micro and medium enterprises and ultimately contributing to job creation.”

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3rd November 2020