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Sanctioning Apartheid - KORA

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ernbarga must not be revealed to the outside world. Therefore,<br />

it has p d numerous laws which make it illegal for anyone in<br />

South Africa to Mose any information on oil-dated matters.<br />

People bfrhgi"g these laws face heavy fines and passible jail<br />

terms. On the other hand, the oil companies, oil badas,<br />

shipping companies, and other suppliers involved are anxious<br />

not to lose their hidden identities because they fear expasure as<br />

viobtocs of the oil embargo.<br />

Changing market conditions in the international oil and<br />

shipping trades, an oil glut, and the overcapacity of tanht=s have<br />

not altered the rule of wmq. This was exp- by the South<br />

Affimn h&nister of Mineral and Energy Affairs, Danie Steyn:<br />

We are receiving more offers because the oil is running<br />

out of the suppliers' gars, and they do not knaw. what<br />

to do with it. However, every offer contains the claw<br />

We will give you oil but nobody must how about ip<br />

In South Africa, 02 mmpanies are regulated from top to<br />

bottom. Longstanding laws direct the manner in which oiJ<br />

companies produce, transport, djsbihute, and price their<br />

products. Regdations govm ev-g from the number of<br />

service statians a company may opm to whether a firm must<br />

maintain its own security forcw to protect it horn possible<br />

sabotage Companies face heavy penalties if they reveal whether<br />

the South African government has compeUd them to sell their<br />

products to controversial buyers such as the police and the army.<br />

The goveri-ment also requires companies to participate in its<br />

program to build up a strategic stockpile of oiL<br />

The main laws regulating South Africa's oil procurement<br />

apparatus, the strategic stockpile of oil s ky, S-, and ib<br />

system of finandng gude d purchases are briefly discussed<br />

below.<br />

The N a W Supplies Pmcurm f Act was passed soon after<br />

November 1977, when the United Nations decked an a m<br />

embargo against South Africa. The government can use m@a-<br />

tions of this law to force foreign-ownd companies t~ produce<br />

strategic oil products for South Africa Oil cornpanis are<br />

requid to set aside a cabin portion of theh refined oil for<br />

governnmt purchase. In compliance with the South African

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