Global commodities trading powerhouse Trafigura is competing against two Black-owned South African energy companies for a 36.36% minority stake in Natref — South Africa’s only inland crude oil refinery and one of the most strategically significant downstream assets on the continent — in a three-way contest triggered by the collapse of the stake’s previous owner.
The minority shareholding in the 108,500-barrels-per-day Natref facility became available after British energy group Prax Group, which had acquired the stake from TotalEnergies two years ago for an undisclosed sum, entered administration in 2025. The process to acquire the stake is open and competitive, with Trafigura not in exclusive talks on the asset, according to sources with direct knowledge of the matter. One source indicated that the two Black-owned South African bidders may at a later stage be backed by a Western energy partner, potentially creating a consortium capable of combining indigenous ownership credentials with international capital and operational expertise.
Operator Sasol holds the remaining majority interest in Natref and holds a right of first refusal over any stake sale — a right that Sasol CEO Simon Baloyi confirmed during a February 2026 interview, without providing further comment on the current process. The refinery’s location in Sasolburg in the Free State province gives it a unique position within South Africa’s fuel supply chain, serving inland demand centres that coastal refineries are logistically less equipped to reach efficiently.
South Africa’s fuels market is among the largest in Africa and analysts expect demand to remain robust for the foreseeable future, in contrast to European markets where the accelerating shift toward greener energy is curtailing long-term oil product consumption. That demand outlook makes the Natref stake a commercially attractive asset and explains the competitive nature of the bidding process. For Trafigura, which last month signed a $1 billion pre-payment deal with Gabon to receive crude deliveries over seven years, the Natref acquisition would significantly deepen its downstream footprint in Africa’s most industrialised economy. For the Black-owned South African bidders, success would represent a landmark moment in the ongoing transformation of the country’s energy sector under black economic empowerment policy.
Source: Engineering News