Key Facts

The IDZ site is situated on the outskirts of the town of Saldanha Bay which is 128km or 80 miles from Cape Town.

The first phase of the IDZ will be the development of 126 hectares of industrial land at the back-of-port area, adjacent to the Port of Saldanha Bay, which is already zoned and serviced for future tenants.

What is an Oilfield Services Complex?

It is a port-linked industrial cluster that provides efficient logistics and engineering services, certified to world-class standards to the upstream exploration and production (E&P) companies involved in the offshore oil and gas industry.

South African IDZ Legislation allows for the establishment of a customs-controlled and duty-free area. The operator licence allows LiCO to establish the IDZ which will provide investors, in the oil and gas industry, with a free port, thus providing a one-stop-shop service.

What is a Customs Control Area (CCA)?

A CCA or free-port allows for the free movement of goods into, and out of the CCA area. The goods are Value-Added Tax (VAT) free as well as duty-free. There are no time restrictions on the stored or goods, requirement to pay for bonded warehouse services and no administrative requirements from Customs.

Land leasing costs in the IDZ are determined and based on the size of land required, company specific infrastructure requirements, the length of the lease and the location of the land.

Sectors

Saldanha Bay Industrial Development Zone

The President of the Republic of South Africa, The Honourable Jacob Zuma, handed over the Industrial Development Zone Operator Permit to the Chairperson of Wesgro, Mr Ben Kodisang, on the 31st October 2013. The official ceremony gave the Saldanha Bay Industrial Development Zone Licencing Company Pty (Ltd), commonly referred to as LiCO, legal status as the IDZ Operator.

LiCo is a wholly-owned Wesgro subsidiary and is defined as a public entity by the Public Finance Management Act 1 of 1999.

The key functions of LiCO are the following:

 - The promotion, management and marketing of the IDZ in Saldanha Bay,

 - The delivery of internal infrastructure in the IDZ area, and 

 - Facilitating ease-of-doing business.

Current repair and maintenance activities of oil rigs in South Africa’s ports are based unscheduled contracts, with competitive Western Cape-based rig repair companies securing one out of every two contracts placed in the market.

The IDZ is in the process of establishing a one-stop-shop (OSS) for the oil and gas services industry which aims to reduce administrative delays, red tape and regulatory hurdles that investors face in South Africa. 

The Saldanha Bay IDZ is unique because it is:

 - The first IDZ in South Africa to apply for full Customs Control Area (CCA) licence,

 - IDZ activities are sector-specific and focus on the Oil and Gas sector, and  

 - The first IDZ in South Africa to include port land in the designation.

The strength of the IDZ is based on the following key success factors, namely:

- The geographical proximity to West & East African offshore oil and gas fields,

- Increased demand for South Africa’s engineering expertise and strong support base in services such as:

          - Rig and marine vessel maintenance and repair

          - Engineering and fabrication activities, and

          - Logistical services.

- South Africa’s engineering expertise and strong support base,

- Deep natural port and physical strengths of the Port of Saldanha Bay,

- A significant creator of jobs on the West Coast of South Africa.

 

Contact

For more information on the incentives available and opportunities in the IDZ, please contact the portfolio manager listed below.

Laura Peinke - Lead: Business Development, Saldanha Bay IDZ. 

Tel: +27 (0)21 487 8600

 

Name Publication Type File Type File Size  
Designation of the Saldanha Bay IDZ Tenders & Government Notices application/pdf 564.4 KB Download
Saldanha Bay IDZ Fact Sheet Sector Fact Sheets application/pdf 350.6 KB Download
Saldanha Bay IDZ Gazette Document application/pdf 2.0 MB Download
Investor Presentation on Saldanha IDZ Sector Fact Sheets application/pdf 1.9 MB Download
RFP - IDZ Project management service Request for Proposal application/pdf 1006.5 KB Download