U.S Oil Firm Chevron Selling 75% of South African business

U.S. oil major Chevron said on Thursday it plans to sell 75 percent of its South African business unit which includes a 110,000 barrel a day refinery in Cape Town.

Chevron is a leading refiner and marketer of petroleum products in South Africa, the most industrialised economy in Africa, where it has had a presence for more than a century.

Chevron said its call for a buyer was in line with a three-year asset sales program it announced in 2014.

“This demonstrates Chevron’s continuing focus on balancing our global portfolio with our long-term business priorities, and it is aligned with our previously announced $15-billion divestment program,” said Mark Nelson, the company’s president for international products, in a statement.

Besides the Cape Town refinery, Chevron also has interests in a lubricants plant in Durban on the east coast. Its network of Caltex service stations makes it one of South Africa’s top five petroleum brands, according to its website.

Chevron has already disposed of several assets in Africa’s top crude exporter Nigeria, as oil majors globally looked to cut costs and streamline business models in an over-supplied oil market and plunging prices.