Astron Adds Third South African-Flagged Tanker To Restore Bunkering Capacity

Image credit: Husskeyy, CC BY-SA 4.0, via Wikimedia Commons

Its arrival should restore part of South Africa’s strained bunkering capacity at a time when rerouted global shipping has increased demand for refuelling along the Cape route.

The Pearl Kate, which marine-tracking websites show is set to arrive in Cape Town from Singapore this week, is the third South African-flagged tanker introduced by Astron, a company official said.

Astron seeks to recover the refuelling capacity it lost when the South African Revenue Service (Sars) last March detained and then seized the tanker Essien, with its fuel cargo.

The seizure, contested in the Western Cape High Court by Astron and shipowner Ocean Ark Shipping Ltd, stems from claims by Sars that the foreign-flagged vessel chartered by Astron was improperly declared and failed to pay the required value-added tax.

Tax crackdown

The latest legal dispute arose in the wake of a broader tax crackdown by Sars in late 2023, which resulted in the detention of five vessels in Algoa Bay on the east coast over alleged breaches of the Customs and Excise Act.

The enforcement shut down operations in Algoa Bay, a key offshore refuelling point for international shipping, impacting companies including Mercuria, Trafigura and BP, as Red Sea tensions saw more vessels sail the Cape of Good Hope route.

Marine data from ClassNK shows the Pearl Kate is under bareboat charter - leased without a crew - from African Marine Solutions Group (AMSOL), which provides bunkering at major South African ports.

One of two operators with a new license for Algoa Bay, AMSOL relaunched offshore bunkering services there last year, backed by a refuelling agreement with Astron, three industry sources told Reuters.

AMSOL referred queries to Astron, a leading producer of low-sulphur marine fuels at its Cape Town refinery.

Astron did not respond to specific questions, but a spokesperson said the production and ability to distribute marine fuels "are fundamental to the ongoing operation of the Astron Energy refinery".