The board of the Central Energy Fund (CEF) decided at a meeting last week to institute a wide-reaching forensic investigation into all major contracts at ailing oil company PetroSA. CEF chairman Luvo Makasi said that new Energy Minister David Mahlobo had not yet been updated. He said that such discussions were confidential and the media would be updated in due course. Mahlobo replaced Mmamoloko Kubayi after last week’s cabinet reshuffle. Business Day understands that the rationale for the probe arose from information provided by a whistle-blower. The whistle-blower indicated that there were long-term contracts and projects that continued to "milk" PetroSA despite its poor financial position, a highly placed source said. Project Ikhwezi, the botched gas drilling that resulted in a R14.6bn loss in 2015, is among those to be investigated. Other projects expected to be probed are the South Coast Gas Development project, an agreement between PetroSA and Pioneer Natural Resources in the U...
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