By Neo Kolane
As a result of COVID-19, petroleum company Puma Energy LS has issued an update on petroleum products regulation, storage, distribution and marketing on various challenges on petroleum products supply chain in South Africa, Lesotho and Botswana.
The country manager of Puma Energy LS (PTY) LTD, Letele Khalikane says five of the company’ six refineries have been on scheduled maintenance, unscheduled stops and shutdown due to low demand as a result of COVID-19.
“With the easing of lockdowns, demand has picked up considerably as a result the market has been super tight on all products.
“Our main source of supply for ULP is the inland refineries, one which remain on shutdown until mid to end June, this does not paint a comfortable supply picture for Lesotho,” Khalikane stated.
Moreover, Khalikane said their supplier has sent them a formal notice that they are having supply challenges.
“We are only able to supply a portion of our D50 and M93 damand.”
He added that their diesel resupply vessel for Durban is delayed to June 10 arrival versus June 1-3 and can which impact Lesotho diesel.
Moving forward, Khalikane mentioned that diesel will be a challenge for the first two weeks out of Durban with only 60 percent of required supply.
“The first two weeks of June will be challenging with suppliers holding us to daily ratable confirmed supply,” Khalikane connoted.
Meanwhile, the executive secretary of Petroleum Fund, Thato Mohasoa on Monday said that indeed there will be supply disruptions following “more than expected” increase in demand of petroleum products in the Republic of South Africa which will lead to some rationalization of supply of products in the neighbouring states such as Lesotho.
“However, this is not a major problem as the supply is expected to come to normal during the middle of June 2020 and all refineries to full production.”
Mohasoa therefore advised the public not to panic as this spell will only last for about to weeks.
