Sat, 12 Jul 2008 11:51:00 +0000
ANGLO-DUTCH oil giant Royal Dutch Shell Plc. has pulled out of Zimbabwe as South Africa's Engen Petroleum buys the 50 percent stake in a joint venture with British Petroleum.
Nyasha Matema


ANGLO-DUTCH oil giant Royal Dutch Shell Plc. has pulled out of Zimbabwe as South Africa's Engen Petroleum buys the 50 percent stake in a joint venture with British Petroleum.



According to the economic magazine Business Day Engen is taking over Shell's portion of a joint venture with British Petroleum for an undisclosed amount.



"We do not get involved in the politics," Engen spokeswoman Tania Landsberg told Business Day adding that they had taken a long-term view of the Zimbabwean situation. "We believe that, in the long term, this is a good deal. We believe that Zimbabwe will recover."



Engen is said to be owned by a Malaysian oil company Petronas (80%) and black economic empowerment group Worldwide Africa Investment Holdings (20%).



This news comes at a time when President Robert Mugabe has taunted Gordon Brown over the suggestion that British companies will have to reconsider doing business in Zimbabwe.



"The British are threatening to withdraw their companies," President Mugabe said. "We say: The sooner you do it the better.



"Please Mr Brown, withdraw all your companies from Zimbabwe."



President Mugabe adopted a Look East policy five years ago which seeks to court investors from Asian countries like China and Malaysia