The South African National Petroleum Company (SANPC) was officially launched on May 23, 2025, in Johannesburg, signaling a new era for the country’s energy sector. President Cyril Ramaphosa, alongside Minister of Mineral Resources and Energy Gwede Mantashe, led the ceremony that brought together executives, government officials, labour leaders and regional energy experts. The creation of SANPC merges the assets of PetroSA, iGas and the Strategic Fuel Fund, forming a single, state-owned oil company tasked with strengthening South Africa’s refining capacity and securing its fuel supply.
At the launch, Minister Mantashe said the new company will be “an energy champion for our nation.” He explained that by combining these entities under the Central Energy Fund (CEF), SANPC can drive inclusive growth and boost the economy by as much as 5 to 8 percent each year. He added that the government’s priority is to ensure steady fuel supply before turning to profitability and efficiency gains.
Mojalefa Godfrey Moagi, the first Chief Executive Officer of SANPC, outlined the immediate steps the company will take. He said SANPC will “ring-fence” underperforming assets and reorganise productive ones to maximise value. Those assets, he noted, will fund investments in refining upgrades and expansion of storage facilities. While clean energy remains on the horizon, Moagi stressed that securing consistent fuel deliveries and returning profits to the state are critical first goals.
SANPC’s integration process began in April 2025, when an agreement with organised labour and non-unionised staff ensured a smooth transition for employees from PetroSA, iGas and the Strategic Fuel Fund. Ayanda Noah, Chair of CEF’s Board of Directors, highlighted that the new company has identified R95 billion in project opportunities, ranging from refinery modernisation to new pipeline construction. Noah said unlocking these projects will reduce South Africa’s reliance on expensive fuel imports and improve the country’s balance of payments.
NJ Ayuk, Executive Chairman of the African Energy Chamber, described the launch as “a new chapter” not only for South Africa but for the whole continent. He encouraged SANPC to lead with home-grown solutions for energy security, embrace international partnerships, and use its brand to enter markets across Africa. Ayuk also urged the company to work closely with private investors and development agencies to bring fresh capital into the sector.
Energy analysts say SANPC’s creation tackles challenges that have long held back South Africa’s petroleum industry. Underinvestment in refineries, scattered asset management and environmental concerns have stalled growth and made fuel more expensive. By consolidating operations and setting clear mandates, the government hopes SANPC will attract new investment, speed up project delivery and improve accountability.
Long term, SANPC is expected to play a central role in South Africa’s energy transition. After stabilising the fuel supply, the company plans to invest in natural gas development, explore renewable fuel technologies and build strategic alliances for cleaner energy projects. This dual focus—starting with supply security and moving towards greener alternatives—aims to position SANPC as both a stabiliser of the domestic market and a bridge to a lower-carbon future.
The launch comes as South Africa grapples with rolling power cuts, volatile global oil prices and rising demand for energy independence. Industry leaders believe that a well-managed, fully integrated SANPC, backed by strong government support, can help smooth out supply disruptions, draw in private-sector expertise and strengthen the resilience of the entire petroleum value chain.
As SANPC moves from ceremony to full operation, all eyes will be on its ability to transfer assets efficiently, execute its R95 billion project pipeline and deliver on its mandate of energy security and shareholder returns. Stakeholders say success will hinge on transparent governance, skilled leadership and productive partnerships—both local, with South Africa’s refineries and logistics firms, and international, with major oil and gas operators.
With its formal launch now complete, SANPC must prove that it can meet South Africa’s fuel needs at affordable prices, support economic growth and pave the way towards a cleaner energy mix. The coming months will test whether the new national champion can deliver on those hopes and become a model for integrated, future-focused energy companies across Africa.
