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South African Oil & Gas Alliance – SAOGA

South Africa

Address: Suite 604 6th Floor 4 Loop Street Cape Town South Africa, 8001

Tel: +27 21 425 8840

Web: www.saoga.org.za

Company description

The South African Oil & Gas Alliance (SAOGA) is a non-profit organization dedicated to promoting the development of South African-based industry supplying products and services to the upstream oil & gas sector. The organisation operates as a partnership between the public and private sectors, receiving public funding to carry out a range of industry development activities and working to promote the interests of a membership base of about 170 private sector companies. It is overseen by an independent volunteer Board of Directors from industry and a number of other key stakeholders. Members include global oilfield service companies with bases in South Africa, marine and ship repair companies that focus on the substantial opportunity in oilfield-related ship/rig repair and maintenance, logistics companies that move people and materials from within and outside South Africa to the regional oilfields and a diversified base of engineering and service companies that supply equipment and specialized services to the industry. History SAOGA is an outgrowth of a provincial government sector development programme around the oil and gas industry in the Western Cape Province of South Africa (a region that includes Cape Town, Mossel Bay and Saldanha Bay). This programme was focused on a significant cluster of upstream supplier companies that developed in the province in response to upstream growth in West Africa and the the establishment of domestic production in Mossel Bay in the late 1980s. An indepedent non-profit entity known as the Cape Oil and Gas Supply Initiative (COGSI) was established in 2003 to become the main vehicle for promoting and developing the sector. The Board subsequently renamed COGSI the South African Oil and Gas Alliance to reflect the growing involvement of upstream suppliers from other regions and the fact that no other South African organisation focuses on the upstream supplier base. Today we have a national footprint and focus although the Western Cape remains the de facto centre of upstream supplier activity in South Africa.

Products and services

Skills Development and Training Skills development is a key national priority in South Africa and a significant portion of SAOGA's resource is put into skills development and training for the oil and gas industry through a Skills Programme Office that is generously supported by our funders. The current focus areas for the programme are: Artisan training. SAOGA works with companies and public training colleges to recruit and train welders, riggers, boilermakers, pipefitters and other high-demand trade skills. Aside from direct funding of training courses we also ensure that most of the students in training receive a stipend to provide for basic living costs during training. Our focus has increasingly shifted to working directly with employers and their training programmes because of the importance of workplace experience in developing the necessary capability. We also maintain a database of people who have been trained on our programmes which we can be queried to find appropriately trained people. Upskilling Training is intended to provide access to oil and gas specific training opportunities for those currently employed in the industry. Typically these will be short courses delivered by a variety of specialised training providers on topics of interest e.g. offshore survival training, introduction to the oil and industry, HSE topics etc. Therse courses are offered to preferentially to member companies on a subsidised basis and have proved to by highly popular with industry. We have also acquired a number of elearning licenses which we are currently introducing and piloting with industry - these allow us to access internationally accredited material that is not generally available locally. Adoption of Global Standards. A critical training issue for South African industry is the conflict between local qualification standards and the global training standards used by the oil and gas industry. The Skills Programme has an important role to play helping local companies understand the global industry qualification requirements and working with South African education institutions and qualification authorities to harmonize curricula. Development of a Training Cluster. We have identified South Africa, and Cape Town in particular, as a potentially attractive location for providing a variety of specialised training offerings for the regional oil and gas industry. Aside from the local training training capability and attractiveness of the country for foreign trainers, South Africa offers a strategic location near major air and sea crew change points for West Africa and a well-developed infrastructure for accommodating visitors. The Skills Programme is tasked with developing this theme and is currently looking at the feasibility of creating a regional centre of excellence for upstream training. Dubbed the "Oil & Gas Academy" the idea is to involve a range of public and private, international and local training providers in a cooperative venture to create a comprehensive package of training options for the regional industry. Potential synergies lie in creating a joint marketing platform and shared investments in training facilities. We are current looking for international and local training companies who would be involved in participating in this undertaking. Supplier Development SAOGA has a general role to play in promoting the development of the upstream oil and gas supplier cluster. This involves activities that build knowledge and linkages with and within the cluster and then, on the basis of this information facilitates interventions to improve competitiveness of individual companies and the sector as a whole. To address the above, SAOGA has entered into a relationship with UNIDO (United Nations Industrial Development Organisation) who have an internationally tested process and toolset for a competitive supplier development programme (CSDP) – the UNIDO Subcontractor and Procurement Exchange Programme (SPX) which is operating since 1981 in various countries all over the world. The purpose of the CSDP is to encourage large-scale buyers to support localization through increasing purchase of locally produced content. The system is based on • supplier profiling • regular buyer meetings to establish long and short term opportunities to localize supply chains of participating companies. • supplier benchmarking and development • matchmaking between buyer and local supplier The programme is supported by the dti, DPE, DST and provincial government departments. Current participating buyers are Transnet, Eskom, Sasol, PetroSA and their OEMs. Suppliers gain access to the program exclusively via collaborating industry associations like SAOGA who offers the SPX programme to the membership. Opportunities in all participating industry sectors will be distributed to the membership which has the advantage that the programme is reaching beyond the Upstream Oil & Gas sector. As such regular notifications will go out to all member companies to assess the local capability for for the supply of the respective equipment. Networking Helping companies to network with each other is a primary SAOGA objective. We facilitate or host several kinds of networking events. Networking Breakfasts. This is a bimonthly industry breakfast hosted by SAOGA. We typically invite a speaker to talk for 20-30 min on a topic of interest and then allow time for attendees to network over and after breakfast. These events are very popular and it is important to book early - members get preferential access and rates for the events. There is usually a modest cost to cover the breakfast. Sundowner Networking. These are ad hoc events that are facilitated by SAOGA but hosted by member companies. Typically they occur at the company's premises in the late afternoon and involve some coctails and a short talk by the host company to showcase their capability. Industry Forums/Roundtables. There are ad hoc events in which industry members come together to discuss or workshop a particular issue. Topics are frequently initiated by member companies as well as by SAOGA. SAOGA will facilitate the events by using our infrastructure to invite people, arrange a venue etc. Conferences and Exhibitions Conferences, trade shows and exhibitions are important ways for companies to market themselves and gather information about the industry. SAOGA has an active programme of partipating in these events and works in various ways to assist member companies to gain exposure through conferences and shows: We facilitate a South Africa stand at OTC the annual flagship industry conference/exhibition in Houston. We lead trade missions to other international shows such as Offshore Europe in Aberdeen. We participate in the key South African oil and gas events: Africa Oil Week, Oil and Gas Africa, Southern Energy Africa week. we are part of the organising committee for the biannual supplier-focused Oil and Gas Africa event in Cape Town

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