South African jet-fuel suppliers need to keep higher stock levels in the event of production outages, such as the one that occurred at Sasol’s Natref refinery last week and prompted airlines to make backup plans, Chief Executive Officer Simon Baloyi said.
Natref has taken measures, following issues on some units, that leave a “low probability” of potential jet-fuel shortages at Johannesburg’s OR Tambo International Airport — the nation’s busiest — but suppliers should be better prepared, he said in an interview Tuesday.
Airlines last week made contingency arrangements and the Department of Energy convened an emergency meeting with the airport and the Fuels Industry Association of South Africa due to the refinery disruption.
Baloyi said that in light of current geopolitics — which have included oil shocks to both prices and physical supply because of the Iran war — he was surprised at the inadequate levels of jet fuel held
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