Oryx Energies has agreed to purchase BP's liquefied petroleum gas distribution business in South Africa. The deal is expected to be completed during the third quarter of 2013 and also includes the purchase of Masana Petroleum Solutions' LPG business, of which BP owns a 45 percent stake.
The businesses together represent annual LPG sales of 60,000 tonnes, Oryx said in a company statement. BP supplies about 40,000 tonnes of bulk, cylinder and aerosol LPG to customers across industrial, commercial and domestic industries. Masana LPG's business serves large commercial and industrial customers with about 20,000 tonnes of bluk LPG.
The deal with BP and Masana will also include the transfer of more than 45 employees to Oryx Energies affiliate, Oryx Oil South Africa Ltd.
"We are delighted that Oryx Energies has been selected as the preferred buyer of this major LPG business in South Africa," said Jean Claude Gandur, chairman of AOG, which owns Oryx Energies. "This is an important step in the roll out of our regional LPG strategy and we are looking forward to welcoming all the BP and Masana LPG employees into the Oryx Energies family."