South Africa is home to no fewer than eight major fuel franchises – Astron Energy, BP, Engen, MBT Petroleum, Puma Energy, Sasol, Shell, TotalEnergies,
There are also dozens of small filling stations that operate independently from big oil conglomerates, trying to get their slice of a very lucrative pie.
Petrol is big business in South Africa, a country with 60 million residents who love shiny new cars, and one that is heavily reliant on road transport for the majority of its logistic needs.
The Road Freight Association estimates that the annual volume of retail petrol sales in South Africa comes to approximately 10.7 billion litres, with diesel sales sitting around 12 billion litres.
Multiply this by the high prices asked for a litre of these propellants, and you get an idea why they’re referred to as liquid gold.
This explains why drivers have over 4,600 individual service stations to choose from when the fuel needle strikes red, with many of these retailers vying to grow their footprint in the country even more.
143 years in the making
The first of the big players to enter South Africa was Engen, but not in the same way we know it today.
All the way back in 1881, what was then recognised as Mobil shot roots into domestic soil, specialising in the sale of oil products and later moving into petroleum.
The Engen name we are all familiar with only came about in 1993, and it now adorns over 1,050 filling stops around the nation.
South Africa’s second major fuel retailer, Shell entered the fray in 1902.
It focused on selling oil for home heating and light, but has evolved into an energy business that provides a range of energy and fuel solutions to local consumers.
Shell currently maintains a portfolio of 600 service stations in South Africa.
History of the Shell pecten logo
BP opened its very first location in South Africa in 1924, celebrating its centennial anniversary earlier this year.
Its range of interests encompasses oil and gas exploration, crude oil importation, and fuel distribution through its retail locations. However, it recently exited refining operations through the sale of the joint Shell/BP-owned Sapref refinery in Durban.
BP enjoys significant market share in the country today, operating over 500 service stations across all provinces.
Sasol has been active in South Africa for over 74 years, being registered locally in 1950.
It has reached numerous milestones during this time such as the opening of two major fuel refineries and the construction of a natural gas pipeline from Mozambique to Secunda, Mpumalanga.
Consequently, Sasol boasts over 400 service stops in the country and is one of the most recognised names in the industry. It hosts the annual solar challenge, too, an endurance race created to showcase local expertise in eco-conscious solar-powered vehicles.
Sasol Solar Challenge competitor
TotalEnergies came to fruition in 1954, mainly selling petroleum products to the country’s 14 million residents at the time.
Over the years it has permeated into other fields, including renewable energies, fuel marketing and services, lubricant blending, refining, and exploration and production.
TotalEnergies now has around 560 stations to its name and is active with LPG distribution nationwide. It also provides some 70,000 homes with electricity sourced from solar and wind farms.
Moving into the 21st century, MBT Petroleum has now spent 20 years in the country following its establishment in 2004.
Founder Johan Fouche identified an opportunity within the petroleum sector for an “aggressive, service driven, and motivated organisation which offers superior customer service, competitive pricing, and excellent communication” and thus, MBT was born.
The company currently operates over 150 sites within our borders.
Puma Energy launched operations in South Africa in 2015 following parent company Trafigura’s acquisition of several smaller industry participants including Brent Oil and Drakensberg Oil.
It saw a gap in the market for cleaner fuels, believing there is more demand than the supply can meet.
Today, as many as 118 filling stations around the country bear the Puma logo.
The youngest of the lot, Astron Energy burst onto the scene as recently as 2018 when Glencore South Africa Oil Investment acquired a majority stake in Chevron South Africa, the owner of well-known service station franchise Caltex.
This saw the commencement of Caltex’s refinery in Cape Town, its lubricant manufacturing plant in Durban, 180 commercial and industrial sites, 15 terminals, and corporate facilities being rebranded to Astron.
Astron is still busy converting the old Caltex locations to its swanky new orange-and-purple theme at a rate of 20 per month. It recently celebrated its 300th rebranding, aiming to eclipse 400 before the end of 2024.
The below table summarises the number of stations each major petrol franchise currently operates in South Africa and the year they were established:
| Franchise | Year established | Number of stations |
|---|---|---|
| Astron Energy | 2018 | ~850 (300 rebranded) |
| BP | 1924 | ~500 |
| Engen | 1881 (Rebranded Engen in 1993) | ~1,050 |
| MBT Petroleum | 2004 | ~150 |
| Puma Energy | 2015 | ~118 |
| Sasol | 1950 | ~400 |
| Shell | 1902 | ~600 |
| TotalEnergies | 1954 | ~560 |
A poll recently ran by TopAuto asked readers which of the major name-brand stations they prefer, with 2,716 consumers throwing their vote into the hat.
The results were:
- Engen – 808 votes (30%)
- Shell – 549 votes (20%)
- Sasol – 410 votes (15%)
- Caltex – 358 votes (13%)
- BP – 277 votes (10%)
- Astron Energy – 104 votes (4%)
- TotalEnergies – 101 votes (4%)
- Other – 89 votes (3%)
- Puma – 20 votes (1%)
These outcomes were hardly surprising – the stations with the biggest footprints and longest histories ranked on top.
This infers that motorists may favour the surety that comes along with a well-established brand, or that these stations are simply the most accessible in their immediate area.
Things are about to change in the local filling station landscape, however.
Shell broke the news earlier in 2024 when it announced that it would be departing South Africa after over 120 years of operations.
It cited its environmental impact goals for this surprising move, noting that it has also pulled out of countries such as Malaysia and Nigeria for the same reason.
It has therefore put its value downstream value chain on sale, with both local and multinational organisations showing interest in purchasing these assets.
With Shell’s announcement still hot off the presses, its biggest rivals – Astron Energy, BP, and Engen – took the opportunity to reveal that they will be doubling down on the local market instead.
Astron Energy said it is actively looking at investing in its refining operations to enable it to produce cleaner fuels in the future as well as assist South Africa with energy security.
Meanwhile, BP divulged that it is working on expanding and upgrading its portfolio of service stations while simultaneously growing the number of forecourts owned by black entrepreneurs or run by black franchisees.
BP also aims to “redefine convenience retailing” by enhancing its forecourt offerings with new brands and products, and it said it will be optimising its supply model through a new “integrated strategy” which it believes will boost its market share.
Vivo Energy, which recently completed the purchase of a 74% stake in Engen, said it will be creating a new 5% employee share ownership programme which will result in Engen South Africa being 26% owned by historically disadvantaged persons.
Additionally, the company said it is will invest a significant amount of capital expenditure to maintain and grow Engen’s footprint in South Africa, and it will integrate renewable solar power generation into its operations in support of the country’s just energy transition.
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