Denmark’s Dan-Bunkering is merging with South African marine fuel company Amoil as the industry continues to consolidate.
It will be the second South African merger for Dan-Bunkering, a unit of Bunker Holding: in May this year it joined forces with South African Bunkering & Trading (SABT).
Dan-Bunkering and Amoil both have more than 38 years of experience, the Danish firm said, and share other similarities that will create synergies.
Dan-Bunkering said the merger will allow it to take an even stronger position in the African market, as well as develop the business to cater for a growing sustainable fuels market.
Jon Hughes, managing director of Dan-Bunkering South Africa, added that by joining forces, the combined group would be able to scale up the business.
Dan-Bunkering and Durban-based Amoil will merge on 1 January 2023 under the combined brand of Dan-Bunkering. Existing contracts and customer relations will continue unaffected.
Amoil managing director Alexandros Margaritis said the merger would “secure continuous growth in a volatile and changeable market”. The company lists an eight-person team on its website.
Cape Town-based SABT had 20 employees prior to its merger with Dan-Bunkering, which said the acquisition would allow it to service clients through a local office in the country for the first time.
US bunker firm year LQM was also merged into Dan-Bunkering in 2021, strengthen its position in the US.
The bunker trading group says it now operates in 11 physical locations worldwide employing more than 100 staff.
Last year, Bunker Holding and its Dan-Bunkering unit were fined a combined DKK 34m ($4.5m) for breaking European Union sanctions against Syria in 33 separate trades.
