Q3 2008 / The gasworld African Conference 2008

The gasworld African Conference conference had been organised to highlight the drivers for growth and the challenges ahead for the African industrial gas market, with an array of key companies and representatives in attendance.

Also present at the event was Specialty Gas Report, with Publisher and Founder Henry Grieco championing the specialty gas cause and providing an insight into the dynamics of our industry.

With a presentation titled ‘Special Gases – Logistical Challenges and Trends’, Grieco discussed the applications of special gases on day one of the conference. Growth markets such as Africa are changing and evolving the way specialty gases are supplied, according to the sentiments of Grieco – who also explained the major markets breakdown.

Emerging markets like Africa are thought to be influencing the specialty gas supply chain, as they impact upon the mode of supply and revive the often conversed Make Vs Buy argument.

Opening his well-received presentation, Grieco said, “What I want to talk about are the major markets for specialty gases, which are broken into two segments, process gases and instrument gases.”

These segments, as he explained, cover a plethora of applications. For process gases these include blanketing, laser, and lamp gases, while the five key market segments for specialty gases are semiconductor, industrial, medical and biotech, environmental, and instrumentation and research.

African challenges and industrial gas markets

As the 125 delegates from around the world gathered, the motivation for the gasworld conference became clear – Africa has a booming gases market, still with plenty of room left for growth and investment.

Such growth will only be possible if certain challenges are met however, as highlighted by guest speaker Kuseni Dlamini of the Richards Bay Coal Terminal.

Providing the first presentation of a well attended and successful conference, the Executive Chairman opened with the thoughts, “I believe Africa needs to build up the knowledge and expertise in particular areas and industries. Without those things and without the physical infrastructure you cannot get things right. Knowledge intensity is very, very important and I think there is more that is needed to do.”

Dlamini then added, “I think it is important for Africa – we are lacking in resources but resources are not enough. If you look around the world, countries with the most abundant resources tend to be the poorest – there are many more dimensions and subjects that need to be looked at.”

The attractive Misty Hills Country Hotel complex played host to a variety of delegates and cultures, as the conference united members of the industrial gas community from varying locations around the world.

These delegates were all intrigued to learn of the potential for the African gas market, as the Spiritus Group’s John Raquet spoke of the opportunities.

Discussing the drivers for growth, Raquet commented, “The African market as we see it is valued at $1.3bn in 2007. Traditionally in Africa most plants have been captive. What are the drivers for growth in the African market?”

“Well clearly the metals demand. The growing infrastructural needs in the region, high oil prices, CTL (coal-to-liquids) and GTL (gas-to-liquids), there’s Nigeria – people are talking about operations in North Africa.”

Raquet continued, “How about the merchant market? There are regional variances across Africa, not surprisingly. There is a real mix between basic industrial gas applications to sophisticated calibration gases. Some of those gas mixtures are highly valuable gases.”

“Right across the continent you could say that many countries are still underdeveloped in terms of the gases market. That provides an opportunity for all of us to help develop these. Our view is that the African market is going to be the highest growth market in the next few years.”

Other notable presentations included those of the Southern Africa Compressed Gases Association’s Albert Spencer, Cryoshield’s John Winterton, Gas Package Solutions’ Dr Roy Irani and Laila Benali of Maghreb Oxygene.

Innocentia Mbatha, Quality & Regulatory Affairs Manager for African Oxygen Limited (Afrox), explained in great detail the role of medical gases as medicinal products and standards in the pharmaceutical industry in Africa and beyond.

Specialty Gas Report advertiser Weldcoa was present at the event too, as the company’s Hector Villarreal captured the audience’s attention and imagination with a lively and engaging presentation about the subject of Cylinder Filling Operations.

Villarreal, President of Weldcoa, covered the palletization of cylinders and noted the many advantages and efficiencies of this method, the operations and processes that Weldcoa proudly offers, the technique of linear fill traversing, and the company’s development of its own proprietary electro-mechanical valve – an exclusive innovation.

Promotional space success

As well as the presence of Weldcoa, a number of other industrial, specialty and medical gas companies and equipment suppliers were present as either delegates or sponsors.

Situated with a backdrop of mini cascading waterfalls, the Pelindaba terrace provided a perfect place for promotional booths – with sponsors including Cryorentals, Inox India, Afrox, Herose, Union Engineering, Red Mountain, Cryostar, and Dominion Gas among others.