Siphofaneni- The Eswatini Strategic Oil Reserve Facility in Phuzumoya is on course to become one of the country’s rare mega infrastructure projects to be completed both on schedule and within budget, a development that will set a new benchmark for public investment.
Speaking during Prime Minister Russell Mmiso Dlamini’s tour of the construction site on Friday, Minister of Natural Resources and Energy Prince Lonkhokhela highlighted the project’s disciplined financial management, saying the facility is expected to be completed without the cost overruns that have affected many large-scale developments.
“We have committed to finish it in record time and on budget. Most of our projects many times go beyond budget, and this will be one of the first ones to be delivered within budget and on time. In fact, ahead of time,” the minister said.
The strategic oil reserve, which is being developed with support from the Republic of China (Taiwan), is regarded as one of Eswatini’s most significant investments in energy security and economic resilience.
Prince Lonkhokhela said the project is far more than an infrastructure development, describing it as a national asset that will protect the country’s economy, strengthen energy security and safeguard citizens against future fuel supply disruptions.
He noted that visible progress is already being made on site, with the ten tank foundations now clearly taking shape, reflecting the pace at which construction is advancing.
The minister also praised the Prime Minister’s hands-on oversight of the project, saying his commitment is demonstrated through regular weekly and monthly progress reviews to ensure construction remains on track.
Beyond meeting cost and timeline targets, the government of Eswatini is also focusing on increasing local economic benefits. Prince Lonkhokhela revealed that a draft subcontractor strategy has been submitted to Government and is being refined to ensure meaningful, measurable and quantifiable participation of local companies throughout the construction process.
He further commended the quality of workmanship and safety standards observed at the site, saying they reflect the high standards being maintained by the implementing partners.
The minister also acknowledged Parliament’s role in making the project possible, thanking Members of Parliament for approving the loan legislation that unlocked financing for the strategic investment.
Once completed, the facility is expected to significantly strengthen Eswatini’s fuel security by establishing strategic petroleum reserves capable of cushioning the country against external supply shocks and geopolitical disruptions while supporting long-term economic stability.
The E5.2 billion project was allocated a total of 180 hectares of land, although the current development occupies only 25 hectares. Construction is also generating employment opportunities for Emaswati, with 145 people currently engaged on the project. Of these, 128 are Swazi nationals, representing 88 percent of the workforce, while the remaining 17 workers, accounting for 12 percent, are specialists recruited to undertake highly technical aspects of the project.
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