MEDIA RELEASE
13 December 2005

CLEAN FUELS ON TRACK, ON TIME!

The SAPREF refinery is operating at normal production capacity and according to plan. SAPREF is ready to meet the government deadline for all refineries to phase out the use of lead in petrol and lower the sulphur content in diesel by 1 January 2006.

During 2004 SAPREF received full funding from shareholders BP and Shell for the execution of the clean fuels project termed LION (which is an acronym for Larger Increase in Octane Number), a R700 million investment to produce lead-free petrol and reduce the sulphur levels to 500ppm of petrol and diesel. " As part of the company's commitment to environmental improvement SAPREF has chosen not to replace lead with other octane boosting additives, rather achieving the high octane requirements through further refining of petrol components", said SAPRED MD Wayne Pearce.

The project has reached completion without an injury that resulted in lost time and according to international benchmarks it's safety performance is 3 times better than the average global project and safety statistics are 6 times better than the average South African project in the petrochemical industry. The production of unleaded petrol and the reduction of sulphur in diesel and petrol will have a significant positive environmental impact. " For SAPREF-produced fuels alone this will result in a reduction of about 2000 tons annually of lead additive and 15 000 tons of sulphur dioxide per annum being emitted through vehicle exhausts", explained Pearce.

On the economic front the project has exceeded its target for Black Economic Empowerment (BEE) procurement, with R150 million of the South African based capital expenditure going to BEE companies. This equates to a BEE spend of total procurement and contracts of 31% exceeding SAPREF's 25% target set for 2005. At the same time, SAPREF's focus on providing employment for local residents in the construction of the LION project has resulted in 70 percent of the nearly 1445 people employed coming from neighbouring communities.

To assist members of the public with queries about the changes in fuel we recommend referral to the following avenues:

NAAMSA web site (would recommend this one as the definitive one) : www.naamsa.co.za South African Petroleum Industry Association (SAPIA) web site : www.sapia.co.za

Cell phone help line available by dialling *120*7918# using Vodacom or MTN networks.

For more information contact:
Prudence Mbatha
SAPREF Communications Officer
Tel: 031-480 1303
Fax: 031-468 1111
Cell: 083 627 0802
email: mbathap@sapref.com