Thursday, October 7, 2010

New Oil Pipeline - "A Legacy Asset"

"One of SA's most ambitious engineering projects is being buried and though you might never see or hear of it, it will underpin their economic lives."

"I speak of Transnet's New Multi-Product Pipeline, currently under construction from Durban to Gauteng. The 700km pipeline will move 87bn litres pa of petrol, diesel and jet fuel to fuel the interior's growing demand for fuels."

"It will cross 100 waterways, and much steep terrain. At least half of the route requires drilling and blasting through rock. The present Durban-Johannesburg pipeline is inadequate and after 45 years worn out and becoming unsafe for use. The new pipeline with four times the capacity will replace it"

"It is a legacy asset, an economic lifeline that should last at least 70 years."

"It will reduce the number of fuel tankers on the roads by 60%, reducing road wear and increasing safety."

"Transnet's new policy is to build capacity before it is actually needed. Rail expansion will absorb R54.6bn and ports R24.7bn in the next five years."