AFROX PRESS RELEASE

31 MAY 1999
NEW AFROX R100 MILLION GLOBAL BUSINESS

IN A BOLD EXPORT PLAN THAT IS SET TO DEVELOP INTO A R100-MILLION-A-YEAR PLUS
GLOBAL BUSINESS BY 2001, AFROX IS TAKING ITS NEW WORLD CLASS SOUTH

AFRICAN-DESIGNED AND PRODUCED GAS EQUIPMENT PRODUCT RANGE INTO NEW
INTERNATIONAL MARKETS.

THIS MAJOR NEW DIMENSION TO THE GLOBALISATION OF AFROX IS THE RESULT OF A JOINT
INITIATIVE BETWEEN THE SOUTH AFRICAN COMPANY AND ITS INTERNATIONAL PARENT, THE
R30-BILLION-A-YEAR BOC GROUP, WHICH HAS OPERATIONS IN 60 COUNTRIES AND IS THE
WORLD'S LARGEST DISTRIBUTOR OF WELDING PRODUCTS, WITH ANNUAL SALES OF R2
BILLION IN THIS AREA.

THE BOC GROUP IS INCREASING ITS FOCUS ON WELDING PRODUCTS AND, AS A RESULT, BOC
WILL, IN ADDITION TO THE LOCAL MARKET, BE THE MAIN CUSTOMER FOR THE NEW AFROX
DESIGNED PRODUCTS. THEY WILL BE MARKETED THROUGH MANY BOC GLOBAL OUTLETS AND
WITHIN A FEW YEARS, AFROX CHAIRMAN AND MANAGING DIRECTOR, ROYDEN VICE, SAYS,
"AFROX-MADE WELDING PRODUCTS WILL BE AS WIDESPREAD GLOBALLY AS THE BOC GROUP
AND OUR RANGE A TRULY GLOBAL BRAND."

JIMMY MARRIOTT, AFROX'S EXECUTIVE DIRECTOR, WHO HEADS UP THE INDUSTRIAL
BUSINESSES, SAYS, "THE FIRST CONSIGNMENTS HAVE ALREADY LANDED IN AUSTRALIA AND
MALAYSIA, WHILE FOLLOW-UP SHIPMENTS TO THESE DESTINATIONS ARE IN PROGRESS.
WITHIN THE NEXT YEAR, THE NEW RANGE OF PRODUCTS WILL BE SHIPPED TO THE
AMERICA'S, EUROPE AND ADDITIONAL PACIFIC RIM COUNTRIES, AS WELL AS ADDITIONAL
MARKETS IN AFRICA.

MARRIOTT SAYS: "THE NEW AFROX-DESIGNED AND PRODUCED SERIES RANGE OF EQUIPMENT
INCLUDES OXYGEN, ACETYLENE, SHIELDING AND SPECIAL GAS REGULATORS, CUTTING
TORCHES, AND A COMPREHENSIVE RANGE OF NOZZLES, TIPS AND OTHER ACCESSORIES."
"THIS FOCUSED RANGE OF HIGH TECHNOLOGY GAS EQUIPMENT, INCLUDING COMPLETE KITS,
WILL FORM OUR MAIN ARMOURY FOR GLOBAL MARKETS AND RESEARCH HAS SHOWN THEY WILL
BE CAPABLE OF EFFECTIVELY COMPETING ANYWHERE IN THE WORLD."

"AND IT IS NOT JUST THE PRODUCTS THAT WILL BE EXPORTED. WE ARE ALREADY PUTTING
PEOPLE ON THE GROUND IN OUR KEY EXPORT DESTINATIONS TO SUPPORT THE AFROX MADE
PRODUCTS AND TO ENSURE THAT WE MEET THE EXPECTATIONS OF OUR OFFSHORE SISTER
COMPANIES," SAYS MARRIOTT.

THE NEW-AGE RANGE IS COMING OFF THE PRODUCTION LINES OF AFROX'S NEW-LOOK GAS
EQUIPMENT FACTORY IN GERMISTON, WHERE A JUST-COMPLETED R17-MILLION UPGRADE HAS
DOUBLED PRODUCTION CAPACITY AND TURNED IT INTO ONE OF THE MOST HIGH-TECH,
RESPONSIVE AND RELIABLE SUPPLIERS OF GAS CONTROL EQUIPMENT IN THE WORLD.
THE THREE YEAR PROGRAMME TO ACHIEVE THIS STATUS, INCLUDED THE COMPLETE
RE-DESIGN OF GAS WELDING EQUIPMENT THAT USE STANDARD PARTS TO FORM A SERIES OF
PRODUCTS WHICH CAN BE EASILY ADAPTED FOR USE IN DIFFERENT GLOBAL MARKETS. AT
THE SAME TIME, SERIES PROCESS MANUFACTURING TECHNIQUES HAS CONTROLLED COSTS,
AND REDUCED DELIVERY LEAD TIMES.

"THESE NEW EXPORT ORDERS WILL COME ON TOP OF THE R50-MILLION-A-YEAR IN FOREIGN
EXCHANGE THAT AFROX ALREADY EARNS FROM SALES OF ITS GASES AND WELDING PRODUCTS
IN THE REST OF AFRICA AND OTHER MARKETS AROUND THE WORLD," SAYS ROYDEN VICE.
"OUR SALES OF R100 MILLION A YEAR FOR THE NEW RANGE OF PRODUCTS ALONE IN 2001
SHOULD THEREAFTER GROW AT AROUND 30 PERCENT A YEAR AS WE ACHIEVE GREATER GLOBAL
SPREAD AND PENETRATION."

"BEFORE THE UPGRADE AND MODERNISATION, THE GERMISTON GAS EQUIPMENT PLANT
EXPORTED ONLY 20 PER CENT OF ITS PRODUCTION. TODAY, 40 PERCENT OF THE PLANT'S
NOW EXPANDED THROUGHPUT IS DESTINED FOR GLOBAL MARKETS."

"THE AIM IS FOR AFROX TO BE A LEADING PLAYER IN GAS WELDING AND CUTTING
EQUIPMENT AND THE CENTRE FOR MANUFACTURING EXCELLENCE IN THE BOC GROUP. THESE
LATEST GLOBAL DEVELOPMENTS HAVE TAKEN THE COMPANY SEVERAL STRIDES NEARER THAT
OBJECTIVE," SAYS VICE.
ENDS
ISSUED BY AFRICAN OXYGEN LIMITED (AFROX)

FOR FURTHER INFORMATION: CHRIS FIELDGATE (011) 490-0554 CELL: 082 495 1481
BACKGROUND INFORMATION ON AFROX IS AVAILABLE ON INTERNET: WWW.AFROX.COM