Fuel Depot Due Diligence: 25 Questions Before You Contract

A depot is a concentrated custody point: product, documents, vehicles, people and systems meet there, so weak controls can amplify risk quickly.

This guide is educational and does not replace legal, technical, safety or regulatory advice. Apply current South African law, licence conditions, contracts and site procedures to the facts.

Licensing and site authority

Confirm who owns and operates the facility, the petroleum activities performed, licences and conditions, land-use authority, environmental permissions and fire-safety approvals relevant to the operation.

Ask whether any notices, suspensions, seizures or material incidents are unresolved and verify answers independently.

Product identity and segregation

Understand tank allocation, manifold configuration, line clearing, commingling rules, water management, dip and meter reconciliation, calibration and retained-sample practice.

Trace how the depot prevents substitution, cross-contamination and undocumented blending.

Access, vehicles and seals

Review access control, visitor logs, driver identification, vehicle approval, loading authorisation, seal issuance and reconciliation, CCTV coverage and after-hours exceptions.

Test whether records can reconstruct a specific load from entry to exit.

Data and commercial controls

Reconcile terminal orders, stock ledgers, weighbridge or meter records, delivery notes, invoices and payments. Separate permissions to create customers, release stock, load product and approve adjustments.

Look for negative stock, repeated manual overrides, round-number adjustments and documents generated late.

Incident readiness

Confirm emergency plans, spill response, product quarantine, evidence preservation, insurer notification, regulator contact and whistleblowing arrangements.

Use the depot misconduct guidance and Evidence Preservation Checklist as practical monitoring companions.

Practical next steps

1. Protect people, product and time-sensitive evidence.
2. Record facts and preserve originals.
3. Verify entities, licences, source and transaction records independently.
4. Use competent testing or professional advice where the risk warrants it.
5. Report through a safe, appropriate channel.

Frequently asked questions

Is a site visit necessary?

For material exposure, yes. Documents alone may not reveal actual flows and controls.

Should contracts include audit rights?

Yes, with practical access to records, sampling and corrective-action evidence.

What is the core test?

Can the depot prove the identity, quantity and custody path of every material movement?

Authoritative references: SARS: non-compliance, adulteration and illicit trade; South African Government: petroleum services and licensing; Petroleum Products Amendment Act 2 of 2005. Regulatory facts should always be checked against the latest official publication.