The Mossel bay discovery renews hope for the country’s economy and the region, notably for the economy of South Africa, and thus shows that we are going to have another new source of revenue.
It is also an opportunity missed by the South African-based companies, mostly since PETROSA operates in that space.
However, I think this brings an opportunity for the company (PETROSA) to benefit from this project by utilizing its well-developed infrastructure and generating new income streams. It will be necessary for the company’s involvement in improving its revenue pool.
This new discovery has been an important indicator of the importance of research and development. TOTAL has been continuing to spend considerable investment in its exploration activities and is rewarded for their activities. In hindsight, we are not spending adequate investment in research and development, especially for State-Owned companies.
Let us imagine a situation if we were entrepreneurial in our dealings as leaders of various State or privately-owned companies. That will enable us to be forthright and be in the front to exploit opportunities that will present new revenue sources, unlike this missed opportunity.
Money spent on research and development is not a waste; it is an investment required for future business cash flows or revenues. This opportunity missed gives, for instance, PETROSA, an important realization about the future. As a company, we need to be thinking about the new sources of income, and thus we reduce reliance on government bailout or extra funding for operational requirements.
Another opportunity missed, the Mossel bay unemployment rate has been increasing gradually. The latest report depicts an increased unemployment rate, which is high, considering the town’s population. I was naive to think that this discovery would benefit the increased number of artisans in Mosselbay.
Lack of involvement has resulted in various demonstrations by the locals denouncing the attitude that has seemed to overlook their cries, especially about the available job opportunities in this project. It is apparent that to be a game-changer, it must not be something in the headlines but rather something that will be celebrated by all those involved.
What to happen? I would think TOTAL’s rational approach, and everyone involved in this project would need to have structured dealings with the locals about their perceived and actual involvement.
We all know that there is very high unemployment in South Africa. It is so unreal that the locals will only exploit the opportunities, but the locals can significantly benefit from this project. The locals’ involvement will have several spinoffs and thus contribute to this region’s future development.
Therefore, this new exploration is essential and has all the ingredients to make it a vital game-changer. Let this opportunity be inclusive, especially for all the Mosselbay artisans who are willing to contribute significantly to this project.