Fuelling growth in Northern Cape, SUNDAY WORLD
THE National Empowerment Fund (NEF) has given Northern Cape- based Desert Oil R22.2million to propel its business ventures. Desert Oil is a 100% blackowned fuel branded marketing company that supplies fuel to Caltex branded retail outlets in the Northern Cape. This is a result of Chevron South Africa adopting a business model according to which it divests the supply, investment, management and marketing of its outlying area locations to entrepreneurs. The sale of the business in each cluster includes pumps, tanks, land and buildings owned by Chevron South Africa. It is also ceding all business contracts in place to support these operations. Desert Oil majority shareholder Fuad Johnson says the company acquired the rights to be the branded marketer in the Northern Cape after bidding against 114 companies. The branded marketer agreement runs for 15 years after the sale date. The original agreement is expected to end in 2024.