Siphofaneni- Even before the Kingdom’s first Strategic Oil Reserve Facility is completed, the government is already planning to expand the country’s fuel storage capacity from 60 days to 90 days.
The Prime Minister Russell Mmiso Dlamini made the announcement during a progress visit to the E5.2 billion oil facili5y project in Phuz’umoya, where construction is already ahead of schedule.
“We already note the need for an expansion from the 60-days storage to 90-days storage,” the Prime Minister noted, indicating that the current facility is being viewed as the foundation of a broader national energy security programme.
Once operational, the facility will store 80 million litres of fuel, providing the Kingdom with a strategic buffer against supply disruptions caused by geopolitical conflicts, regional refinery breakdowns and extreme weather events.
Dlamini said maintaining reliable fuel supplies was critical to achieving government’s ambitious economic agenda.
“Fuel is the lifeblood of economic activity. A secure supply underpins growth, sustains business and supports our target of 12 percent economic growth,” he said.
The Premier described the project as one of government’s landmark infrastructure projects under His Majesty King Mswati III’s national transformation agenda, saying it would improve the country’s resilience while reducing vulnerability to external fuel supply shocks.
Beyond energy security, he said the project is expected to create lasting economic benefits through local employment, skills transfer and increased participation of emaSwati businesses in major infrastructure developments.
He commended the contractors for promoting corporate social responsibility initiatives and training local workers, saying these efforts would ensure the country develops the expertise needed to operate and maintain the facility after completion.
Dlamini also reiterated government’s expectation that the project be completed within the agreed budget, timeline and quality standards, noting that public funds were financing the development through a loan approved by Parliament.
The Strategic Oil Reserve Facility, valued at E5.2 billion, was launched in April 2025 and is expected to be fully operational by late 2028 or early 2029. The project currently employs 145 people, of whom 128, or 88 percent, are emaSwati. The landmark project is overseen by Eswatini National Petroluem Company (ENPC) with the main main contractor being Overseas Electrical Engineering (OEE).
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