In addition to Mkhize Mining Investment Holding’s extensive portfolio, we have ventured into the booming Petroleum industry diversifying the company to meet a great need. Our aim is to to become one of South Africa and Africa’s leading black owned and managed Petroleum wholesalers.
Mkhize Mining Investment has chosen the petroleum wholesale industry as the growth prospects are encouraging and stable, with petroleum-derived products dominating the petroleum industry in South Africa.
It is well known that every large consumer company such as mine, transport companies and aviation companies and petroleum retailers need petroleum products.With the green market growing our research and interaction with businesses has shown that there will always be a need for petroleum products.
We at Mkhize Mining Investment Holding wish to play an instrumental role in the country´s transformation through a range of activities that span the petroleum chain. We also want to offer our customers a more personalised service in comparison to the larger companies which have saturated the market thus far.
We boast competitive prices, excellent service, a quality product and considering South Africa has very limited oil reserves and about 95% of its crude oil requirements are met by imports from the Middle East and Africa, Mkhize Mining Investment Holding only the best. Our talent for innovation is recognised across the country.
With the focus on developing productive and sustainable partnerships, especially in the Business-to-business sector, we work closely with our customers to deliver quality, cost-effective products and services that will help them to achieve their long-term strategic objectives.
We have developed our logistics and distribution division with the needs of our customer as a priority. We aim to offer excellent services and support to meet these needs. Service remains at the top of our agenda and our in-house approach has ensured that our service is top-notch.
We play an integrated role in keeping our customers fully up-to-date with important legislative and petroleum industry developments and issues. We endeavour to provide our customers with high quality products that meet the standards and specifications set out by the Department of Energy of South Africa. We source our products from a combination of supply points locally and internationally.
Our core values include the empowerment of our diverse employees as the company fully pursues employment equity opportunities.Customer focus is at the heart of our business model. Our aim is to exceed each customers’ expectations by providing first-class service.
Mkhize Mining Investment complies with all the regulations as stipulated by the Department of Energy. The business also complies with stringent safety, health, environmental and quality control systems in line with ISO 9000 and ISO 14001 certification.
The business has the following key objectives:
*The creation of employment opportunities
*Building the company’s capacity to do business in a competitive environment
*Penetrating the regional market especially mining and public transport
Petroleum is a naturally occurring, yellow-to-black liquid found in geologic formations beneath the Earth’s surface, which is commonly refined into various types of fuels .
Petroleum products are moved from refineries by pipelines, rail, sea and road to approximately 200 depots, 4 600 service stations and 100 000 direct consumers who are mostly farmers in South Africa. Gauteng consumes the largest amount of petrol and diesel in the country.
There are approximately 4 600 service stations (forecourts, company owned and dealer owned) in South Africa. The petroleum industry was licensed for the first time in 2005, in terms of the Petroleum Products Amendment Act, 2003. Government limits the number of licences allocated.
The business provides the following service:
Sourcing and providing fuel dispensing for petroleum products.
Exporting and importing a full range of petroleum products.
Petroleum supply chain logistics and provision of end to end fuel management solutions.
Oil is a fossil fuel. Most of the oil extracted today has been formed from prehistoric organisms whose remains settled at the bottoms of oceans and lakes millions of years ago. As layers of sediment covered them, the pressure on them increased which in turn increased the temperature. This process changed their chemical composition, eventually transforming them into oil.
Crude oil, or petroleum, and its refined components, collectively termed petrochemicals, are crucial resources in the modern economy. Given that they are non-polar, oils do not easily adhere to other substances. This makes them useful as lubricants for various engineering purposes. Mineral oils are more commonly used as machine lubricants.
In addition to crude oil, SA imports about 20% of finished products as fuel demand exceeds its crude refining capacity of 513000 barrels a day.
A 42 gallon barrel (U.S.) of crude oil produces approximately 10 gallons of diesel, 4 gallons of jet fuel, 19 gallons of gasoline (petrol), 7 gallons of other products, 3 gallons split between heavy fuel oil and liquefied petroleum gases and 2 gallons of heating oil. The total production of a barrel of crude into various products results in an increase to 45 gallons.
Crude oil can be refined into a wide variety of component hydrocarbons. Petrochemicals are the refined components of crude oil and the chemical products made from them. They are used as detergents, fertilisers, medicines, paints, plastics, synthetic fibres, and synthetic rubber.
Liquefied Petroleum gas(LPG)
Liquefied petroleum gas or liquid petroleum gas (LPG or LP gas), also referred to as simply propane or butane, is a flammable mixture of hydrocarbon gases used as a fuel in heating appliances, cooking equipment, and vehicles.
It is increasingly used as an aerosol propellant and a refrigerant, replacing chlorofluorocarbons in an effort to reduce damage to the ozone layer. When specifically used as a vehicle fuel it is often referred to as autogas.
LPG is prepared by refining petroleum or “wet” natural gas, and is almost entirely derived from fossil fuel sources, being manufactured during the refining of petroleum (crude oil), or extracted from petroleum or natural gas streams as they emerge from the ground.
It currently provides about 3% of all energy consumed, and burns relatively cleanly with no soot and very few sulphur emissions. As it is a gas, it does not pose ground or water pollution hazards.
Its advantage is that it is non-toxic, non-corrosive and free of any additives, and has a high octane rating. It burns more cleanly than petrol or fuel-oil and is especially free of the particulates present in the latter.
Diesel fuel in general is any liquid fuel used in diesel engines, whose fuel ignition takes place as a result of compression of the inlet air mixture and then injection of fuel. Diesel engines have found broad use as a result of higher thermodynamic and thus fuel efficiencies. Petroleum diesel, also called petrodiesel, or fossil diesel is the most common type of diesel fuel.
We will supply both Low Sulphur (50ppm) and High Sulphur (50ppm) diesel. Fuel dispensing management systems and petrol and diesel transportation services through our partners. We will also supply illuminating paraffin and jet fuels as well as electronic fuel management systems.
The demand for diesel in South Africa is increasing rapidly, largely due to economic growth, infrastructure development, and the current power crisis. Part of this demand can be ascribed to diesel-hungry open-cycle gas turbine (OCGT) power generation plants, which uses diesel. Diesel-powered trucks and capital equipment are also contributing to rising diesel demand in South Africa, especially as government’s infrastructure drive continues, and the country’s truck and yellow metal populations continue to grow.
According to latest statistics, South Africa consumed approximately 9.1-billion litres of diesel during 2009, showing a 6.6% decrease in diesel from the previous year. During 2008 there was a 0.1% increase in diesel consumption from 2007. Last year four billion litres of diesel was imported.
The demand for diesel has increased further as more and more South African households and businesses buy generators to help them through tough load-shedding schedules.
Petrol is a transparent, petroleum-derived liquid that is used primarily as a fuel in internal combustion engines. It consists mostly of organic compounds obtained by the fractional distillation of petroleum, enhanced with a variety of additives; a 42 gallon barrel of crude oil yields about 19 gallons of petrol, when processed in an oil refinery.
We offer petrol as a non-refining petroleum product wholesaler. We obtain our product from refineries and we will market both Unleaded (UP) and lead replacement (ULP) with either 93 or 95.
South Africa consumed approximately 11.3-billion litres of petrol during 2009, showing a 2.2% increase in petrol from the previous year. During 2008 there was a 4.2% decrease in petrol consumption from 2007. Last year 1.2 billion litres of petrol was imported alone.
The petrol price in South Africa is directly linked to the price of petrol quoted in US dollars at refined petroleum export orientated refining centres in the Mediterranean area, the Arab Gulf and Singapore.
This means that the domestic prices of fuels are influenced by international crude oil prices, international supply and demand balances for petroleum products and the Rand/US Dollar exchange rate. This promotes cost efficiency and astute crude acquisition strategies to ensure survival in a volatile and competitive international environment, thus eliminating domestic inflationary pressures.
Petrol has two big advantages as a fuel for a mobile machine. Firstly it is clean burning. The carbon and hydrogen combine with oxygen when the fuel burns in the engine to produce just carbon dioxide, carbon monoxide and water.
The second benefit is that petrol packs in the energy remarkably well. This is why moving to alternative fuels proves so difficult. Petrol stores away 100 times the energy per unit weight that the best batteries can hold.