I say ‘until recently’, because Vitol cancelled its contracts with SFF in June 2020, the practical effect of which is that it has abandoned its oil with a view to claiming damages. Subject to any relief the applicants may be granted, the current owners of the oil are (or were until recently) Glencore (3 million barrels of Bonny), CTSA (2 million barrels of Bonny and 2 million barrels of Basrah) and Vitol (3 million barrels of Basrah). Recently SFF pumped the Basrah from Tank 2 to Tank 5.
The oil was still in these tanks when the applicants repudiated the transactions and gave notice that they were bringing review proceedings. The sale agreements (SPAs) were coupled with storage agreements (SGAs) in terms whereof SFF would continue to store the oil in Tanks 2 and 6. (Save where it is necessary to distinguish between them, I refer to the sixth to eighth respondents collectively as ‘Vitol’.) Vesquin is a subsidiary of the seventh respondent (‘Vitol Energy’) which is in turn controlled by the eighth respondent (‘Vitol SA’). Finally, SFF sold 3 million barrels of the Basrah to the sixth respondent (‘Vesquin’). (For convenience, I shall refer simply to CTSA, save where separate reference to Natixis is needed.) This was done by way of an on-sale of the oil by Taleveras to CTSA coupled with a repurchase obligation. The fourth and fifth respondents (‘CTSA’ and ‘Natixis’) financed Taleveras’ acquisition of the oil. SFF sold 2 million barrels of the Bonny and 2 million barrels of the Basrah to the third respondent (‘Taleveras’).
Venus immediately on-sold it to the second respondent (‘Glencore’). SFF sold 3 million barrels of the Bonny to the first respondent (‘Venus’). The strategic stock was stored in Tank 2 (Basrah) and Tank 6 (Bonny). SFF has six underground storage tanks at Saldanha Bay with a combined capacity of 44,4 million barrels. Basrah is less valuable than Bonny because it is heavier and has more sulphur. The oil is 5 million barrels of Basrah Light (‘Basrah’, an Iraq oil) and 5 million barrels of Bonny Light (‘Bonny’, a Nigerian oil). They seek the review and setting aside of the decisions to sell the oil and of the ensuing transactions. They are public entities listed in Schedule 2 of the Public Finance Management Act 1 of 1999 (‘PFMA’). The seller was the second applicant (‘SFF’), which is a wholly-owned subsidiary of the first applicant (‘CEF). This case is about the sale, in late 2015/early 2016, of South Africa’s strategic stock of 10 million barrels of crude oil for about $281 million. Heard : 14-16 September, 23 October 2020 supplementary submissions on 10 November 2020ĭelivered: 20 November 2020 (by email to the parties and same-day release to SAFLII) VITOL ENERGY (SA) (PTY) LTD - SEVENTH RESPONDENT VESQUIN TRADING (PTY) LTD - SIXTH RESPONDENT TALEVERAS PETROLEUM TRADING DMCC - THIRD RESPONDENT GLENCORE ENERGY (UK) LTD - SECOND RESPONDENT VENUS RAYS TRADE (PTY) LTD - FIRST RESPONDENT STRATEGIC FUEL FUND ASSOCIATION NNPC - SECOND APPLICANT
#Gijima hig court zacc plus#
Disposal of R10m barrels of oil set aside, but CEF and SFF must pay Glencore $106m in compensation plus interestĬENTRAL ENERGY FUND SOC LTD - FIRST APPLICANT
0 kommentar(er)
