The ANC Youth League is "fully behind" PetroSA's efforts to develop a new oil refinery at Coega, it said on Friday.

The league said it fully supported the proposed 400 000 barrel-a-day crude oil refinery, in spite of "the lame opposition" from oil company BP.

"In supporting this brave and courageous initiative by the state-owned PetroSA, we reject and dismiss BP?s attempts to oppose the establishment of the oil refinery.

"BP?s opposition to the initiative is clearly informed by their obsession with profit maximisation, at the expense of the country?s economic development," the League added.

BP 'does not want to create jobs'

BP, it said, was not interested in creating more jobs in SA.

The league was referring to BP's comments last week urging government to consider expansion of existing refineries before embarking on the construction of a refinery at Coega.

BP also said it made no sense to burden South African taxpayers when better and cheaper options were available "than building a new, expensive refinery."

State's role is key

According to the ANCYL its support for PetroSA?s establishment fell squarely within the league's 23rd national congress resolution that the state should play a significant and leadership role in the development of amongst others, minerals and petroleum industries.

"PetroSA?s initiative will not only be useful for South Africa?s industrial strategy, but gives practical meaning and inspiration to what state control and ownership of strategic sectors can do in the development and growth of the South African economy," the ANCYL added.

In best interests of SA

In a separate statement on Thursday, PetroSA said a new refinery would be in the best interests of South Africa.

"Although we recognise that BP may not be comfortable with fresh competition, building a new crude oil refinery would certainly be in the best interests of South Africa," PetroSA president and chief executive officer Sipho Mkhize said.

BP Africa officials told Sapa that comment would be provided later on Friday.