Petroleum Africa
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Monday, July 12, 2010
Indwe Aviation is taking PetroSA to court after the state-run firm terminated the relationship between the pair.PetroSA terminated its dealings with Indwe Aviation last week and turned around and co-opted the air force to transport workers from George airport to its offshore installations, including a platform that supplies gas to a refinery in Mossel Bay and the Orca floating crude oil production platform.
Indwe has brought a case against PetroSA to the Cape Town High Court to compel the state-run firm to continue using its services. Martin Steynberg, chief operating officer, said in court papers “I am advised that it is unlawful for the South African Air Force to conduct what amounts to commercial air transport operations.”
He is asking for services to continue until Indwe and PetroSA reach a new deal; the two have been negotiating a new contract for more than a year.
Steynberg said he was informed in May that PetroSA’s board, under the chairmanship of Popo Molefe, had passed a resolution to extend the contract for a year, but then later let the contract lapse.
In a Times Online article Steynberg said he suspects that board politics at PetroSA played a "decisive role" in his company not getting a new contract.
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