Wednesday, 26 January 2011

BP Oil Spill Could Benefit Africa’s Economy

The BP Oil spill has resulted in massive losses for BP International which has resulted in BP having to sell of assets in countries around the world. This is promising for South Africans businesses as if they are able to purchase some of these valuable assets, the South African economy could benefit from the money coming in.
BP has experienced multi-billion dollar losses due to the BP Oil Spill that has been dominating environmental news around the world over the last few months. As a result BP international has been forced to make any important and consequential decisions in order to survive the massive hit to their market value.

BP CEO Tony Howard has had to accept responsibility for the oil spill and has subsequently been asked to step down as BP CEO and will be replaced by Robert Dudley who has stated that BP oil will be making some important decisions in the near future, all geared at the recovery of BP International.

One of the most significant decisions made by the new BP CEO to date has been the sale of over $30 billion worth of international assets, all of which will go to the recovery of the $60 billion loss experienced by BP Fuel in recent times.

The good news for Africa and South Africa in particular, is that this might give up and coming businesses on the African continent a chance to grab hold of a stake in the massive industry of oil which dominates economies around the world. Many major BP international assets are based in Africa and if South African businesses are able to acquire a certain amount of these BP international assets, it could result in a healthy boost to the South African economy.

BP international assets will be on sale in numerous African countries including Botswana, Namibia, Tanzania and Malawi. Let’s hope that South African businessmen and women are wise enough to get their hands on some of these BP Oil assets and assist in the recovery of BP Oil internationally. 

By Dave Ackermann
Published: 8/4/2010