Africa's Big 3 Expo will open doors in multi-billion dollar industries.
A new trade expo to provide a gateway to African oil and petrochemical markets worth billions.
With the world-wide demand for oil and petrochemicals continuing to soar, new and lucrative business opportunities are opening in Africa - and South Africa will provide the ideal gateway for global suppliers looking to exploit the boom.
“As the United States, China and other developed nations expand their thirst for oil - and instability deepens in the Middle East - so Africa will become an increasingly attractive source for crude,” says John Thomson, Managing Director of Johannesburg-based Exhibition Management Services.
“It is a market worth billions of dollars and there is an obvious need for a trade expo, where international suppliers can showcase their products and services and interact with buyers and operators.”
The first Africa's Big 3 expo will take place at Gallagher Estate in Midrand near Johannesburg from 26 to 28 June 2007.
“There is huge industry enthusiasm,” says Thomson. “We have been astounded by the response.”
Cluster of shows
Africa's Big 3 is a cluster of three trade shows:
Pumps, Valves and Pipes Africa 2007 (PVP) is already a successful and established expo, now in its fifth edition.
“PVP is an international trade fair for suppliers to industries including mining, water utilities, government, industrial and civil engineering, agriculture, food, beverage, dairy, brewing, petrochemicals, pulp and paper,” Thomson says.
Petro.t.ex Africa is an exhibition for suppliers to oil refineries, petrochemical plants, oil and gas installations and pipelines.
Chem.t.ex Africa will showcase the latest in chemical process technologies and products.
Africa's Big 3 is designed to assist local and international companies expand and develop opportunities in all aspects of business in the oil, gas, petrochemicals and chemical process industries – and it could not have come at a better time!
More than the Persian Gulf
Africa currently provides 7% of the world's total oil supply, with proven reserves of 75.4 billion barrels. By 2025 this number is expected to rise to 120 billion barrels. The region supplies 15% of US oil requirements and by 2015 is expected to contribute 25% of Uncle Sam's oil - more than from the Persian Gulf. At present over 8 million barrels per day are pumped.
In addition, China's overheated economy has seen that country's demand for oil soar. China now buys 25% of its foreign oil from Africa and this is expected to increase to nearly one third.
Mozambique and South Africa, together with petroleum giant, Sasol, recently opened an 865km pipeline from the Pande and Temane gas fields off the Mozambican coast at a total cost of around US$2 billion.
In addition, according to press reports, by 2010 Africa will account for 30% of the world's liquid hydrocarbon production. The continent currently produces 12%.
All of this is good news for the petrochemicals industry in southern Africa. South Africa's four oil refineries and three synfuels plants are all in the process of being upgraded to meet the region's growing demand for fuel and to provide additional downstream facilities.
According to SAPIA, the South African Petroleum Industry Association, South Africa produced 23 571 million litres of liquid fuels in 2005. About 36 percent of the country's demand was met by synthetic fuels that are produced locally, largely from coal and from natural gas. Local refining of imported crude oil met the remaining 64%.
A number of new projects are either in the pipeline, under consideration or already underway.
Early last year, synfuels giant, Sasol, announced it will start construction on a US$285 million octene plant at Secunda in South Africa this year.
The new facility will double the company's existing output to 200 000 tons a year and comes on the back of growing global demand from plastics manufacturers. The new capacity will give Sasol control over one third of the world market for octene.
In addition, Sasol has confirmed it is assessing the viability of building another coal-to-liquids plant with a capacity of 80 000 barrels a day.
Company spokesman, Johann van Rheede, said the plant would cost around US$6 bn and that the company was currently involved in discussions with government.
The company is cash-flush and plans to spend around US$6,5 billion in capital expenditure by 2009.
Last year alone, Sasol's capex amounted to over US$2 billion, of which US$1,2 bn was allocated to expand operations while the balance was used to enhance existing facilities.
Of the planned US$6,5 billion capex allocation, the company says 75% will be spent in the energy sector and an estimated 60% of the total will be spent in South Africa.
Biofuels
At the same time, the South African Cabinet has approved the draft Biofuels Industrial Strategy that proposes the setting up of facilities to produce fuel from crops. The Department of Minerals and Energy says it anticipates investments of around US$1 billion will flow into a sector that has the potential to contribute up to 75 % of the country's renewable energy by 2013.
“This will be achieved by using excess crop production and expanding production on underutilised arable land, particularly that of emerging farmers,” a Cabinet statement says.
A task team has been set up to work on the strategy and will report back to Cabinet in May 2007.
The promoters of the concept believe the biofuels industry has the potential to create 55 000 agricultural jobs and contribute to reducing greenhouse gases.
“There are boom times ahead for those who exploit the opportunities,” says Thomson, “and from the interest already being shown in Africa's Big 3 Exhibition, it appears many companies realise that.”
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Pumps Exhibition to Also Feature Conferences
The 5th International Pumps Valves and Pipes Exhibition (PVPA) scheduled for Gallagher Estates in June this year has undergone a significant makeover which includes endorsement by the World Pumps Publication.
No longer a “stand alone” exhibition PVPA now features alongside two complimentary exhibitions, Petro.t.ex aimed at suppliers to Petro Chemical Plants and Chem.t.ex for suppliers to the chemical industries.
Explaining the rationale Serean Thomson of EMS states “whilst still retaining industry focus the expansion into a synergistic exhibition profile gives all participants, be they exhibitors or visitors, a better return on time invested and is totally in line with current International exhibition trends”. She continued “The presentation of these combined events under the banner of Africa’s Big Three has now attracted considerable International attention. We have received bookings and enquiries from India, China, Italy, Brazil, Turkey and Taiwan”.
The extended show profile has the added advantage of being able to support a number of complimentary conferences and workshops. These include a two day workshop conducted by “Pump Guy” Larry Bachus from the U.S.A.
A firm favourite amongst SA’s industry professionals Bachus will take delegates through ways to reduce and eliminate unexplained pumps failure and repetitive maintenance.
Other case studies include; Trenchless pipe rehabilitation, new technologies for waste water cleaning and effective pipe lining and coating.
The S.A. Institute of Chemical Engineers will also be hosting a conference at Africa’s Big Three addressing issues such as procurement needs for mid stream, corrosion control equipment, new trends in tank building, vapour recovery and environmental assessments.
Africa’s Big Three will run from June 26 – 28 2007. Johannesburg South Africa.
For more information
Contact Serean Thomson
Exhibition Management Services
Tel: 27 11 783 7250
Fax: 27 11 783 7269
marketing@exhibitionsafrica.com |
