The Engen oil refinery in Durban, the country’s oldest, will be converted into a into a terminal capable of importing cleaner fuels after suffering annual losses for much of the past decade.

It would be too costly to refit the plant in Durban, which opened in 1954, to meet evolving emissions regulations, Yusa Hassan, CEO of Engen, a unit of Malaysia’s Petroliam Nasional (Petronas), said in an interview...

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