Coega IDZ to become petrochemical hub

Investment into the Coega Industrial Development Zone outside Port Elizabeth is set to be driven by the petrochemical sector rather than smelters and other metals-related industries. Speaking at the signing of a co-operation agreement with the Coega Development Corporation (CDC), PetroSA president and CEO, Sipho Mkhize, said the two organisations were considering opportunities in secondary industries in order to establish the Coega IDZ as a petrochemical hub serving the whole of Southern Africa. PetroSA is planning a 400 00 bpd crude oil refinery for the IDZ. It stands to create greater spin-offs than a proposed aluminium smelter, which would have sustained around 1 000 direct jobs when operational, but would have consumed as much electricity as the Nelson Mandela Bay metro. The refinery will generate close to 27 500 temporary jobs during the construction phase and 18 500 permanent direct, indirect and induced jobs once operational.