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an international retail petroleum news digest<br />
www.erpecnews.com<br />
Hungarian State to re-purchase MOL shares<br />
A series of direct negotiations between representatives<br />
of the Hungarian Government and<br />
those of Surgutneftegas, a Russian oil company,<br />
has been concluded with an agreement on the<br />
fate of a 21.2 percent MOL share package<br />
held by the company. In the wake of intense<br />
discussions performed in rapid succession, it<br />
has been decided that the Government wishes<br />
to repurchase the entire package. This measure<br />
is the first, an internationally significant,<br />
step towards a governmental strategy aimed at<br />
increasing the weight of the State's participation.<br />
The acquisition of an ownership share in<br />
a successful national energy company that is<br />
also a market leader in Central and Eastern<br />
Europe will increase public property, stabilise<br />
the regional and the domestic energy market and<br />
add to the safety of energy supply in Hungary<br />
and abroad. The agreement also marks the<br />
removal of a serious barrier to further development<br />
in Hungarian-Russian bilateral relations.<br />
NIS will invest US $ 1.31 billion by 2013<br />
Naftna Industrija Srbije AD, the Serbian refinery<br />
controlled by OAO Gazprom Neft, may invest as<br />
much as 90 billion dinars (US $ 1.31 billion) in<br />
exploration and upgrades by 2013 and possibly<br />
offer shares through a foreign bourse. With<br />
the former Yugoslav Republic emerging from<br />
recession, companies are looking to expand and<br />
raise more cash from investors. NIS may branch<br />
out into electricity generation and chemical<br />
Slovenian Petrol to acquire stations in Croatia<br />
The Slovenian oil company Petrol plans to invest<br />
an additional 75 million euros in the Croatian<br />
market with the aim to acquire 20 more petrol<br />
stations by 2014. The Petrol Group has sold<br />
547 000 tonnes of petroleum derivatives in the<br />
production as it seeks to gain market share in<br />
the Balkans, according to a development plan<br />
through 2020. The plan is based on research<br />
of Serbian and regional markets where the<br />
company is looking for possible acquisitions.<br />
NIS's sees its cumulative gas and oil production<br />
more than tripling to 5 million tons of oil<br />
equivalent and trade volume nearly doubling<br />
to 4.5 million tons by the end of the decade.<br />
first three months of this year, an 8 percent<br />
increase over the same period in 2010. Petrol<br />
owns 443 petrol stations – 313 in Slovenia,<br />
80 in Croatia, 38 in Bosnia and Herzegovina,<br />
five in Serbia and three in both Montenegro.<br />
Issue No 28 | June / July 2011<br />
<strong>european</strong> <strong>edition</strong><br />
OMV announces<br />
new CEO & organisational<br />
structure<br />
OMV Chief Executive Officer Gerhard<br />
Roiss announced Gülsüm Azeri as new<br />
CEO of OMV's Turkish operations including<br />
Petrol Ofisi as of 1st July 2011. Melih<br />
Türker, Chief Executive Officer of Petrol<br />
Ofisi since 2007, will leave the company<br />
after a structured hand over period. “We<br />
want to thank Melih Türker for his commitment<br />
to Petrol Ofisi, which he has<br />
positioned as clear market leader in the<br />
retail and wholesale business, especially<br />
in challenging times”, Roiss stated. OMV<br />
decided to pool its power generation as<br />
well as power and gas sales and logistics<br />
activities in Turkey under a Turkish Gas<br />
and Power Holding which is currently<br />
in the process of being established. The<br />
new Turkish Gas and Power Holding's<br />
parent company will be OMV Enerji<br />
Holding A.Ş. which is also the majority<br />
shareholder of Petrol Ofisi A.Ş.<br />
erpecnews is published by McLean events in conjunction with PetrolPlaza – www.erpecnews.com
CrEdItS<br />
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be sent to editor@erpecnews.com<br />
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erpecnews is published monthly by McLean Events<br />
Europe Ltd in conjunction with PetrolPlaza.com and<br />
distributed to retail petroleum operations in Europe<br />
and the Middle East. McLean Events Europe is the<br />
organiser of erpec, the leading business event, held<br />
every two years, for Europe's retail petroleum market.<br />
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McLean Events<br />
tOtaL secures deal with the UaE<br />
TOTAL has secured a deal that will see the<br />
firm supply an extra 100 000 tonnes of fuel<br />
in the United Arab Emirates (UAE) between<br />
June and September 2011. The company<br />
was issued the tender by UAE's fuel retailer<br />
Emirates General Petroleum Corporation,<br />
as concerns continue to grow over shortages<br />
across the country. As part of the arrange-<br />
Orlen Lietuva to supply filling stations in Ukraine<br />
Orlen Lietuva and SOCAR Energy Ukraine,<br />
a subsidiary of Azerbaijan's SOCAR, have<br />
agreed on the supply of Lithuanian Euro 5<br />
LatESt NEwS, EVENtS, JObS ONLINE – www.PEtrOLPLaza.COM<br />
ment, TOTAL will receive a US $ 9 (£ 5.48)<br />
premium against the average monthly price<br />
of Brent crude. There have been a number of<br />
cases of fuel running out across the UAE in<br />
recent weeks, as demand continues to outstrip<br />
supply. The industry is heavily funded by the<br />
government in order to ensure living costs<br />
across the nation remain affordable.<br />
fuel to the SOCAR retail chain in Ukraine.<br />
The Fuel Supply Manager for Ukraine at Orlen<br />
Lietuva, Julius Nemunis, said that SOCAR is<br />
planning to use Lithuanian fuel to produce<br />
its own NANO petrol. “Yes, SOCAR really<br />
plans to produce its own petrol on the basis<br />
of our product. The talks with the company<br />
were a success and the decision to do this<br />
was taken.” The agreements between the two<br />
companies were confirmed in the Ukrainian<br />
office of SOCAR.<br />
topaz bid £ 300 million for UK fuel business<br />
Ion Equity, the Dublin investment firm<br />
that owns the Topaz fuel business, made a<br />
£ 300 million bid to buy almost 800 filling<br />
stations in Britain. Neil O'Leary, Chief Executive<br />
of Ion, confirmed that the firm bid for<br />
the British assets of TOTAL, the French fuels<br />
group, which have been on the market for a<br />
number of months. However, Ion did not make<br />
it to the final stages of the sale process after<br />
being outbid by competitors and private equity<br />
players. TOTAL is now in exclusive talks to<br />
sell the stations to a consortium that includes<br />
Heron, the property and investment group<br />
run by billionaire Gerald Ronson. O'Leary<br />
said that Ion Equity was actively pursuing<br />
other acquisitions.<br />
bulgaria threatens thousands of businesses<br />
The National Revenue Agency (NRA)<br />
has said that thousands of businesses in<br />
Bulgaria risk closure at the beginning of<br />
October 2011 if they fail to comply with<br />
legislation in force since January this<br />
year, Bulgarian media reports said. All<br />
cash registers in petrol stations and other<br />
establishments were supposed to be wired<br />
directly to the NRA, according to a new<br />
Finance Ministry measure in force since<br />
8th January. The measure aims to tackle the<br />
grey economy and tax evasion. According<br />
to the report, to date about 15 000 firms,<br />
or 7.5 percent of the total in Bulgaria, have<br />
been electronically linked to the NRA. The<br />
remaining 185 000 or thereabouts, however,<br />
have not and have only about three<br />
months to do so.<br />
SOCar to expand activities in romania<br />
The State Oil Company of the Azerbaijani<br />
Republic (SOCAR) plans to continue purchasing<br />
petrol stations in Romania, SOCAR<br />
head Rovnag Abdullayev said. SOCAR<br />
has already purchased 14 petrol stations<br />
in Romania and will purchase more. The<br />
company plans to launch 7 petrol stations in<br />
Romania under its own brand and has started<br />
rebranding the other 7 stations. The stations<br />
are located in the north-east of Romania,<br />
near the Moldovan border. SOCAR plans<br />
to open a total of 300 petrol stations under<br />
its own brand. It operates petrol stations in<br />
Azerbaijan, Georgia and Ukraine.
Italian beauty and absurdity<br />
When luxury becomes a commodity, there's<br />
little left but to make commodities luxurious.<br />
The image shows a newly constructed petrol<br />
Crime cost the UK £ 22 million in 2010<br />
Crime on Britain's forecourts cost fuel retailers<br />
over £ 22 million in 2010, a £ 3 million rise on<br />
the 2009 figures according to the annual forecourt<br />
crime survey conducted by BOSS. The<br />
British Oil Security Syndicate (BOSS) 2010<br />
survey says, the main source of the estimated<br />
total loss is £ 15.5 million is resulting from<br />
‘drive off’ incidents. A further £ 4.5 million is<br />
Hellenic Petroleum also part of Greek asset sales<br />
Greece's biggest refiner Hellenic Petroleum<br />
was included in the country's privatisation<br />
plan, according to an EU / IMF report. Greece<br />
will sell its 35.5 percent stake in Hellenic<br />
in the first quarter of 2012, according to<br />
a provisional list of privatisation assets attached<br />
to the report. Hellenic Petroleum<br />
has a market capitalisation of 2.06 billion<br />
euros (US $ 3 billion). It is listed on the<br />
station in Cuneo, Piemonte, Italy, designed<br />
by Damilano Studio Architects and it's rather<br />
pleasant to look at if modern architecture is<br />
your thing. Reinforced concrete enclosing a<br />
glass wall creates staggered, latitudinal forms<br />
that are sliced by aluminum canopies front<br />
and back, with blood red fuel pumps. At the<br />
back is a red steel block bearing a work of<br />
art that looks like a long armed, dog-headed<br />
man on a toilet. It is actually “a wolf howling,<br />
illuminated at night, drawing attention to<br />
that urgent need”!<br />
lost from motorists claiming to have ‘no means<br />
of payment’ (NMoP) on the day and then they<br />
fail to return to clear their debt. The combined<br />
drive off and NMoP loss for the average UK<br />
service station in 2010 compared with the<br />
previous year has risen by 2.5 percent in terms<br />
of litres, but in reality by 19 percent in cash<br />
terms due to the effect of increased fuel prices.<br />
Athens Stock Exchange. The company runs<br />
refineries in Greece and Macedonia and<br />
petrol stations across southeast Europe and<br />
in Cyprus. Hellenic's biggest single shareholder<br />
is POIH Investment Ltd, with a 41<br />
percent stake. The company had hitherto<br />
not been included in Greece's privatisation<br />
plans, which are to raise 50 billion euros by<br />
2015 to pay down debt.<br />
bP rolls out contactless payment terminals<br />
BP petrol stations, together with its German<br />
unit Aral, will begin accepting MasterCard<br />
PayPass contactless payments across its UK,<br />
Swiss and German forecourts over the next<br />
two years. Under the new development, consumers<br />
with PayPass-enabled payment cards<br />
will be able to pay for BP / Aral purchases up<br />
to the value of £ 15 (US $ 24.63) in the UK,<br />
25 euros in Germany and 40 Swiss francs<br />
in Switzerland as the roll-out of contactless<br />
terminals across the three countries commences.<br />
Consumers can also continue to use<br />
the same cards for higher value transactions if<br />
Orlen deutschland to buy 200 – 250 petrol stations<br />
German unit of listed fuel giant PKN Orlen,<br />
Orlen Deutschland, intends to buy petrol<br />
stations in Germany, CEO Jozef Niedworok<br />
said during a Polish-German economic forum.<br />
“We want to buy 200 – 250 more stations in<br />
Germany”, Niedworok confirmed. The firm's<br />
mid-term goal is to have 750 stations in five<br />
years at the latest “but we want to start network<br />
authenticated with a PIN or signature. As of<br />
the first quarter of 2011, more than 92 million<br />
PayPass cards and devices have been issued<br />
for use at approximately 311 000 merchant<br />
locations worldwide.<br />
expansion right now”, Niedworok added. The<br />
cost of a single station acquisition is estimated<br />
at 100 000 – 200 000 euros or up to 1 million<br />
euros in very good locations. Its scope of<br />
operations in the country may expand beyond<br />
that region and while buying new stations,<br />
Orlen Deutschland will have to close tens of<br />
unprofitable ones, the CEO also said.<br />
LatESt NEwS, EVENtS, JObS ONLINE – www.PEtrOLPLaza.COM<br />
NEwS – EUrOPE<br />
dresser wayne<br />
modifies brand name<br />
GE announced that Dresser Wayne will<br />
now operate as Wayne. The new brand<br />
name will go to market with the tagline,<br />
“A GE Energy Business”. GE acquired<br />
Dresser, Inc., including its Dresser<br />
Wayne business segment, in February<br />
2011. The determination to maintain<br />
the individual Wayne brand came after<br />
researching the existing equity of the<br />
Wayne name and the value it holds for<br />
fuel retailers worldwide.<br />
Ukrgazvydobuvannia<br />
to buy stations & oil<br />
depots in Ukraine<br />
According to the Ukrainian Economic<br />
Development and Trade Ministry, Ukrgazvydobuvannia<br />
is buying 69 filling<br />
stations from eight firms for 1.281 billion<br />
hryvnias and three oil depots from<br />
Chernihiv-based Atikva for 37.58 million<br />
hryvnias. The largest number of filling<br />
stations will be bought from Atikva – 42<br />
filling stations for 718.63 million hryvnias.<br />
Ukrgazvydobuvannia is to buy from one<br />
to nine filling stations from each other<br />
company. Apart from Atikva, the sellers<br />
are Vek Ltd. (Odesa region), Kalyna-<br />
Zakarpattia Ltd. (Zakarpattia region),<br />
Bina Ltd. (Kharkiv), Borol subsidiary,<br />
Regen Oil Ltd. (Cherkasy), Merkator<br />
Filling Stations Ltd. (Poltava region) and<br />
Agrokhimservice Ltd. (Sumy). According<br />
to the announcements, Ukrgazvydobuvannia<br />
is planning to buy the filling stations<br />
using its own funds.<br />
Foreign fill-ups keep<br />
Luxembourg's motor<br />
running<br />
Three quarters of all fuel sold in Luxembourg<br />
is taken abroad to neighbouring<br />
France, Belgium and Germany. Lower fuel<br />
taxes in the duchy mean “tank tourism”<br />
is big business. Wasserbillig – meaning<br />
“cheap water” – is a picturesque village<br />
in Luxembourg. Despite its name, it's<br />
cheap gas, not water, that the village<br />
is known for. Most of the cars driving<br />
through here are heading to one of the<br />
11 gas stations on the main street, and<br />
almost all the cars have German license<br />
plates. Luxembourg is said to rely on<br />
this flow of business and the money<br />
it brings. If that were taken away, the<br />
country would have to be subsidized in<br />
some way by Europe.<br />
3
NEwS – EUrOPE<br />
4 LatESt NEwS, EVENtS, JObS ONLINE – www.PEtrOLPLaza.COM
Irving Oil interested in Icelandic companies<br />
Representatives from the Canadian company<br />
Irving Oil are in Iceland meeting with the<br />
executives of Icelandic oil companies and<br />
familiarizing themselves with their operations.<br />
They might even invest in either N1<br />
or Skeljungur (Shell Iceland). Irving Oil<br />
had plans to import fuel and operate fuel<br />
stations in the country 20 years ago. However,<br />
the three Icelandic oil companies,<br />
ESSO (now N1), Olís and Skeljungur joined<br />
forces in fighting off the competition. The<br />
Competition Authority later determined<br />
that the oil companies violated the laws on<br />
competition with their actions. Currently,<br />
both the owners and the operation of N1<br />
are heavily indebted. A financial reorganization<br />
is underway and claimants may take<br />
the company over this summer. It has also<br />
been discussed that N1's owners will sell<br />
the company.<br />
MOL buys third-largest Slovenian fuel retailer<br />
Slovenian trade and telecoms group Tus Holding<br />
has sold Tus Oil, Slovenia's third-largest fuel<br />
retailer, to Hungarian oil company MOL. Tus<br />
Oil has 19 filling stations while MOL had 12 filling<br />
stations in Slovenia prior to the purchase.<br />
The value of the purchase was not disclosed.<br />
Motoring coalition wants fuel price investigation<br />
A European coalition of motoring groups<br />
has written to the European Union demanding<br />
an investigation into the soaring price<br />
of petrol, claiming that market pricing is<br />
“far from transparent”. With petrol prices<br />
reaching record highs, the Federation Natio-<br />
nale d'Automobile (FIA), which represents<br />
35 million drivers, has demanded an inquiry<br />
into how benchmark prices are set at Europe's<br />
key trading centre, the Rotterdam spot<br />
market. The FIA's letter calls on Joaquin<br />
Almunia, the EU Competition Commissioner,<br />
to look into “transparency in crude oil<br />
and oil product prices” and “investigate the<br />
influence and proper functioning of pricefixing<br />
mechanisms as at the Rotterdam spot<br />
market for finished products”. The British<br />
Petrol Retailers' Association will also refer<br />
its concerns to the Office of Fair Trading,<br />
asking for it to look at the “grave issue” of<br />
transparent pricing and its impact on the<br />
retail market.<br />
Shell seeks buyers for 260 gasoline stations in Canada<br />
Royal Dutch Shell has said that it is looking<br />
for a buyer for its 260 retail gasoline stations<br />
in Canada as part of the oil giant's plan to sell<br />
$ 5 billion of assets this year. Out of 1 600<br />
gas stations Shell has in Canada the company<br />
plans to sell 260 retail stations in Quebec and<br />
the Maritime provinces in Eastern Canada.<br />
The company is looking for a buyer who will<br />
operate the stations under the Shell banner<br />
since it has an established brand name. The<br />
260 stations have convenience food stores, car<br />
washes and other customer-driven services. Shell<br />
said that the sale will exclude five joint venture<br />
sites and 190 reseller outlets in the region.<br />
German cartel office claims slammed by fuel companies<br />
Germany's cartel office wants to counter the<br />
influence over German gasoline sales and prices<br />
of the dominant five companies by limiting<br />
their ability to buy filling stations in future, a<br />
German newspaper reported. The newspaper<br />
cited a cartel office report as saying the five<br />
companies whose influence it has reportedly<br />
criticised – led by the local units of BP, operator<br />
of the Aral outlets and Shell – would<br />
only be able to buy stations in exceptional<br />
circumstances. The cartel office would either<br />
bar further purchases by the companies “or<br />
only approve them under certain terms and<br />
conditions”, the paper quoted the report as<br />
saying. Recent German media reports say<br />
the cartel office believes the major retailers<br />
move in tandem so that price moves appear<br />
to be concerted, though without breaking<br />
any law however no evidence of price fixing<br />
has been found.<br />
LatESt NEwS, EVENtS, JObS ONLINE – www.PEtrOLPLaza.COM<br />
review<br />
NEwS – EUrOPE<br />
It was the most wonderful setting, on<br />
the outskirts of Europe's favourite city,<br />
Barcelona, that erpec took place once<br />
again, with over 200 delegates attending<br />
from Europe's retail petroleum sector.<br />
Coming from 26 countries, representing<br />
oil companies, retailers, equipment suppliers,<br />
distributors and PMC's, the mix<br />
of companies taking part was much of<br />
what made this event the most special so<br />
far. Joining the programme this year were<br />
many first time delegates from Eastern<br />
Europe, including representatives from oil<br />
companies SOCAR, Parallel and TNK-BP.<br />
Two days of one to one meetings, around<br />
1 200 in total, followed a lively conference<br />
programme on the first day, featuring<br />
speakers from Circle, Petrogas, Topaz,<br />
Eurotank, Wincor Nixdorf and sponsor<br />
for the session OPW. The papers are all<br />
available on request. First time delegate<br />
Rasim Gurbanov from SOCAR said: ‘My<br />
expectations have been more than exceeded,<br />
I have gained a lot of new knowledge and<br />
will keep some unforgettable impressions.’<br />
Pavel Batyushin from Logintech, who<br />
was helping us a lot before the event to<br />
build some solid bridges into the Eastern<br />
European market commented: ‘Many<br />
thanks for the invitation to erpec 11. It<br />
was a really new experience in my business<br />
practice and the participants from TNK-BP<br />
and PARALLEL can confirm that as well.<br />
I am sure erpec 13 will attract more people<br />
from CIS / Baltic market which I consider<br />
one of the most prospective ones in our<br />
industry. I will be pleased to be invited.’<br />
The farewell dinner on the last evening<br />
featured a live Queen tribute band,<br />
which played to an audience which was<br />
completely won over by the music and<br />
the performance, sending everyone<br />
home with ‘We are the Champions’ still<br />
ringing in their ears. A perfect end, to a<br />
perfect event!<br />
5
NEwS – EUrOPE<br />
6<br />
tOtaL's F1 corporate<br />
advertising campaign<br />
continues<br />
For the third consecutive year, under<br />
contract with Renault and partnering<br />
with the Lotus Renault GP Team, TOTAL<br />
continues to develop its image in France<br />
and worldwide with its Formula One, 2011<br />
corporate campaign. The 2011 campaign<br />
objective is to consolidate TOTAL's image<br />
as a bold, innovative company, as<br />
reflected in the participation in Formula 1<br />
racing. It showcases TOTAL's position<br />
as a partner you can count on: “TOTAL,<br />
partner of your challenges”, in this event<br />
as well as in other major projects. See<br />
TOTAL's ads at Nice Airport (France)<br />
during the Monte Carlo Grand Prix and<br />
discover the F1 Lotus Renault GP car<br />
in Terminal 1.<br />
Supermarkets in UK<br />
cut fuel prices<br />
Three of the UK's main supermarkets have<br />
cut petrol prices – Morrisons was the first<br />
to drop its fuel prices – announcing a cut<br />
of 1 p per litre for petrol and 3 p per litre<br />
for diesel. It also promised diesel would<br />
be no more than 140 p per litre and that<br />
petrol would fall to an average of 135.2 p.<br />
Asda then followed by announcing identical<br />
cuts to petrol and a 4 p cut on diesel, stating<br />
that maximum prices at its filling stations<br />
would be 135.7 p per litre for diesel and<br />
134.7 p per litre for petrol. Tesco joined in<br />
shortly after, saying it would cut unleaded<br />
prices by 1 p per litre and diesel by 3 p<br />
per litre, matching Morrisons. The cuts<br />
come after the AA called on fuel sellers<br />
to pass on the falling price of wholesale<br />
petrol, which has been dropping for the<br />
past month.<br />
KazMunaiGas plans<br />
to purchase Helios<br />
In July the KazMunaiGas company is<br />
planning to start the purchase of the<br />
Helios chain of petrol stations. The<br />
Helios company owns 228 petrol stations<br />
in Kazakhstan and purchases fuel at<br />
the Pavlodar oil refinery. In 2010 petrol<br />
consumption reached 3.5 million tonnes,<br />
680 tonnes of jet fuel and about 4 million<br />
of diesel fuel. The KazMunaiGas, Helios<br />
and Sinoil are the largest retail players at<br />
the Kazakhstan market.<br />
Carmakers rethink sustainability approach amid<br />
E10 fuel fiasco in Germany<br />
Germany's introduction of the E10 biofuel has<br />
been a public-relations disaster and the auto<br />
industry is already rethinking its approach<br />
to sustainability. E10 was supposed to be a<br />
step towards Germany's clean-energy future.<br />
Spurred by governmental quotas for biofuel,<br />
the country's petroleum industry introduced<br />
a new, ostensibly environmentally-friendly<br />
petrol with 10 percent ethanol this year. But<br />
LatESt NEwS, EVENtS, JObS ONLINE – www.PEtrOLPLaza.COM<br />
somehow, consumer preference was left out of<br />
the equation, sparking an unexpected public<br />
backlash by car-loving Germans. A report by<br />
the petroleum industry association MWV<br />
reveals that only one in five German drivers<br />
fuelled up on E10 last month. Two thirds of<br />
motorists currently know whether E10 is safe<br />
for their cars, but nearly half of these drivers<br />
still refuse to buy the controversial fuel.<br />
French tOtaL is content doing business with wissol<br />
Wissol, one of the leading companies in the<br />
energy sector in Georgia, is successfully<br />
continuing its business and according to<br />
Samson Pkhakadze, Chairman of the Wissol<br />
Board of Directors, in the near future the<br />
company plans to add 3 new Auto Express<br />
service centres to its network. Wissol is an<br />
exclusive importer of French TOTAL lubricants<br />
available at Auto Express and French<br />
partners positively evaluate their business<br />
partnership in Georgia. During the next 18<br />
months the company is planning to enlarge<br />
the network and Auto Express branches. “It's<br />
a big honour for us to manage a business<br />
with the world's giant oil company, French<br />
TOTAL. TOTAL and Wissol have great<br />
business relations. We have quite ambitious<br />
plans with more branches opening in Tbilisi<br />
as well as in different parts of Georgia” a<br />
spokesman said.<br />
Lotos Group sale a political headache<br />
Serious interest in buying Poland's Lotos<br />
Group has come only from Russian companies,<br />
making the sale of the government-owned<br />
refiner politically problematic before this<br />
autumn's parliamentary election.<br />
Unofficially, the Russian companies who<br />
submitted bids for Lotos before the treasury<br />
ministry's deadline at the end of last month<br />
include TNK BP, GazpromNeft and Rosneft.<br />
Russian companies have long been interested<br />
in Lotos, the country's second largest refiner<br />
– which owns a modern refinery in northern<br />
Poland as well as a chain of petrol stations<br />
and some oil production on the Baltic Sea –<br />
as a way of gaining a foothold in the Polish<br />
market.<br />
However, the Polish press reported that<br />
Biosyntec, a French biotechnology company<br />
that makes cigarette filters and Trafigura<br />
Beheer, a Dutch fuel trader, also made bids.<br />
MOL romania appoints CEO: business woman<br />
Kinga Ágnes daradics<br />
MOL Romania has appointed Kinga Ágnes<br />
Daradics new CEO and Country Retail<br />
Manager. She will replace Szabolcs Ferencz,<br />
who has been promoted to lead a new divi-<br />
sion with MOL, Corporate Affairs. Ferencz<br />
has led the Romanian subsidiary since the<br />
beginning of 2010. Kinga Ágnes Daradics<br />
started working with MOL in 2003 and led<br />
the gas cards division. She supervised this<br />
division's activities in nine countries, Romania<br />
included. She has graduated at the Babes<br />
Bolyai University in Cluj Napoca and holds<br />
an MBA from the Sheffield University. MOL<br />
operates 128 petrol stations in Romania, while<br />
its network in Europe reaches 1 500 outlets.<br />
MOL also owns five refineries in Hungary,<br />
Slovakia, Croatia and Italy.
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NEwS – EUrOPE<br />
7
NEwS – MIddLE EaSt, aFrICa & aSIa<br />
8<br />
air zimbabwe<br />
out of fuel<br />
Zimbabwe's debt-ridden national airline<br />
has cancelled flights to London and<br />
South Africa because fuel companies<br />
have cut off its supplies because of<br />
unpaid bills. A senior manager at the<br />
troubled carrier confirmed the flight<br />
cancellations. “We had no option but to<br />
cancel London flights because suppliers<br />
refused to give us fuel for the trip”, the<br />
Manager said. “London-to-Harare flights<br />
were also cancelled.” Air Zimbabwe GM<br />
Innocent Mavhunga would not deny that<br />
the groundings were a result of failure<br />
to pay fuel suppliers. “I would not want<br />
to comment on that”, he said.<br />
E5 too expensive in<br />
Viatnam<br />
While the government is encouraging the<br />
development of ethanol petrol products,<br />
in the Environment Law to be applied<br />
as of 2012, it is still listed as a product<br />
that bears high environment tax rate.<br />
This explains why E5 petrol remains<br />
too expensive to attract users. Research<br />
conducted by the Hanoi University of<br />
Technology showed that using E5 users<br />
can save 5 percent of fuel in comparison<br />
with petrol. Also that it is less costly to<br />
use E5 petrol, because it can prolong the<br />
life of some parts of the engine.<br />
City pumps run dry<br />
in Lahore, Pakistan<br />
Petrol shortage at almost all stations in<br />
the city continued with its effects being<br />
felt all over the Punjab metropolis. Many<br />
of the affected stations were either “shut”<br />
or limited their services. Petrol station<br />
workers had no answer to when a solution<br />
would be found. “We have no petrol”, was<br />
the only answer they had. Fuel seekers<br />
were rushing from one petrol station to<br />
another. The franchises of the oil marketing<br />
companies TOTAL and Caltex have<br />
totally run dry; even Shell Pakistan only<br />
delivered fuel to about 20 percent of its<br />
filling stations.<br />
Qatari firms shift focus to Jordan<br />
With political and social upheavals taking<br />
place in Syria, its neighbour Jordan, is fast<br />
emerging as a favourite destination of some top<br />
Qatari companies that had lined up big-time<br />
projects in Damascus. State-backed Qatar<br />
Fuel (Woqod) which is the sole distributor of<br />
petroleum products in Qatar and also runs a<br />
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large number of petrol and service stations<br />
across the country, had planned to build and<br />
operate a network of petrol stations in Syria.<br />
But the company, according to a local daily,<br />
has shelved its plans due to political and social<br />
unrest rocking Syria and has instead decided<br />
to shift the project to Jordan.<br />
Shell Ghana launches new diesel fuel<br />
Shell Ghana introduced its New Shell Diesel<br />
Extra fuel containing fuel economy formula.<br />
The new fuel contains unique formulation<br />
designed to give Ghanaian motorists extra<br />
kilometres at no extra cost and it is specifically<br />
developed for all vehicles. Omar Benson,<br />
Managing Director of Shell Ghana Limited<br />
said: “We are committed to delivering better<br />
fuels around the world and have been working<br />
to develop fuels to address motorists’ needs for<br />
improved fuel economy. Wide-ranging research<br />
has shown that many of our customers want<br />
fuels, which are going to take them further<br />
without having to pay more.”<br />
Ptt switches focus to overseas growth<br />
PTT will focus on regional growth, having<br />
reached the limit in domestic expansion,<br />
with the aim of becoming the second-largest<br />
petrochemicals player behind national brands<br />
in some countries within five years. Saran<br />
Rangkasiri, Executive Vice President of<br />
PTT, said the company would maintain the<br />
number of PTT petrol stations in Thailand<br />
at about 1 300. Overseas expansion would<br />
be one of the company's major strategies<br />
in the next three to five years. “Neighbouring<br />
markets, such as Cambodia, Laos and<br />
Myanmar [Burma], have no oil-refinery<br />
facilities in the country and they need to<br />
import finished oil from our country”, he<br />
said. “Opening our PTT petrol stations in<br />
their markets will help release our surplus<br />
oil and add value to our products.”<br />
Nigeria's Oando plans private placement<br />
Nigerian energy firm Oando said it planned<br />
to issue 25 percent of its share capital<br />
through a private placement to finance<br />
acquisitions. The energy firm, which has<br />
1.8 billion shares in issue, is worth 94 billion<br />
naira as at 6th June. It said proceeds<br />
from the planned sale would be used for<br />
corporate restructuring, mergers and<br />
acquisitions and employee compensation.<br />
Almost a year ago, Oando said it hoped<br />
to raise US $ 250 million by floating a<br />
minority stake in its local fuel retail arm<br />
on the Lagos bourse, as part of plans to<br />
turn into a major upstream energy company<br />
in Africa's biggest oil producing<br />
country. Oando, which is also listed in<br />
Johannesburg, said in a notice it would<br />
seek approval at a shareholders meeting<br />
at the end of June for the issue.<br />
UaE tells retailers to stop surcharge on credit cards<br />
Retailers in the UAE has been asked to stop<br />
charging additional fees on credit card usage,<br />
effective from 1st July, 2011, UAE Ministry<br />
of Economy said in a statement. Sultan Bin<br />
Saeed Al Mansouri, Minister of Economy<br />
and Chairman of the Supreme Committee<br />
for Consumer Protection, was heading the<br />
second meeting of the committee for 2011,<br />
which passed a resolution prohibiting retailers<br />
from imposing surcharges on credit card<br />
usage as commission. The meeting reiterated<br />
the importance of decisions made by the<br />
Ministry and the Supreme Committee for<br />
Consumer Protection to support consumer<br />
rights and boost economic competitiveness<br />
and growth in the UAE.
last raises safety concerns in Lebanon<br />
The dust had barely settled on the ruined<br />
forecourt before the accusations began to fly.<br />
A fuel explosion, which killed at least four<br />
and injured several more at a Beirut gas station,<br />
formed a timely reminder to lawmakers,<br />
security services and vehicle owners alike<br />
of the perilous state of Lebanon's petrol<br />
pumps: mainly illegal, frequently unsafe<br />
and criminally under-maintained. Caretaker<br />
Energy and Water Minister Gibran Bassil,<br />
bPCL to launch 600 new retail outlets<br />
State-run oil marketing firm Bharat Petroleum<br />
Corporation is planning to bid for city-gas<br />
projects in Kochi (Kerala) and Hyderabad<br />
(Andhra Pradesh) and plans to launch<br />
600 new fuel retail outlets this fiscal, said<br />
S. Vardarajan, Director, corporate finance.<br />
“We are keen to bid for city gas projects in<br />
Hyderabad and Kochi as we believe there<br />
is a huge potential in that market and we<br />
Ugandan Minister denies ‘Ghost Oil’ company<br />
Former Energy Minister Hilary Onek denied<br />
any knowledge of Black Gold Ltd., the shadowy<br />
company reported as controlling oil imports<br />
and prices in the country. Eng. Onek, who<br />
has been transferred to the Internal Affairs<br />
ministry, said the technocrats at the Energy<br />
ministry ought to explain how an unknown<br />
entity was allowed to get the second largest<br />
allocation of Uganda's oil imports. “I do not<br />
tOtaL to open 20 gasoline stations in Cebu<br />
More than a year after setting up its first service<br />
station in Cebu, TOTAL (Philippines) Corp.<br />
is planning to open 20 stations in the next two<br />
to three years, the company said in a press<br />
statement. TOTAL (Philippines) President and<br />
Managing Director Ernst Wanten said, “Our<br />
said greater regulation was needed to avoid<br />
a repeat disaster. “We called for strengthening<br />
measures against illegal gas stations<br />
and for them to increase safety measures.<br />
This was last discussed in Feb. 2010 but it<br />
has never been passed due to the level of<br />
hindrance within the [parliamentary] Energy<br />
Committee. This law would be the solution<br />
to the chaos surrounding gas stations in<br />
Lebanon”, Bassil said.<br />
will also launch around 600 – 700 new<br />
retail outlets with a special focus on rural<br />
markets.” BPCL reported a 33 percent jump<br />
in net profit in the quarter ended 31st March<br />
2011 on back of higher refining margins.<br />
Net profit rose to 935.18 crore rupee in the<br />
fourth quarter of the current fiscal from<br />
703.18 crore rupee in the same period the<br />
previous year.<br />
know this company so the Permanent Secretary,<br />
Mr Kabagambe-Kaliisa, should be the<br />
one to assist in any investigations over the<br />
matter”, Eng. Onek added. Black Gold Ltd.<br />
has no known depots or service stations in<br />
the country but has been importing fuel as a<br />
middleman, determining how much retailers<br />
and motorists pay for fuel, which is at an alltime<br />
high, leading to high commodity prices.<br />
expansion in Cebu reflects our confidence in<br />
Cebu's business climate. We also recognize<br />
the entrepreneurial spirit of our Cebuano<br />
partners in our service stations.” Despite the<br />
fierce competition in the industry, TOTAL<br />
is optimistic of its growing customer base.<br />
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Petronas unit in search<br />
for more stations<br />
Petronas Dagangan Bhd plans to invest<br />
RM 250 million to RM 400 million<br />
annually to set up between 30 and 50<br />
petrol stations a year till 2016. The retail<br />
arm of Petroliam Nasional Bhd now has<br />
950 petrol stations nationwide. With a<br />
32 percent share of the market, it ranks<br />
No. 2 in the retail segment, behind oil and<br />
gas giant Shell. “We hope to increase our<br />
market share to 40 percent in five years”,<br />
Managing Director and Chief Executive<br />
Officer Amir Hamzah Azizan said at a<br />
briefing. Amir Hamzah said financing for<br />
the stations would be internally generated,<br />
adding that the company needed to find<br />
“good sites” to build the stations. “With<br />
950 stations, it's hard to find a location<br />
that's not near to a competitor.”<br />
EPPCO shuts filling<br />
stations in Sharjah<br />
The number of petrol stations in the<br />
city are coming down as the leading oil<br />
marketing companies are undertaking a<br />
rationalisation of their assets and resources.<br />
Emirates Petroleum Products Company<br />
(EPPCO) has permanently closed three of<br />
its major outlets in Sharjah. The closure<br />
of three outlets is seen as a reflection<br />
of the pressure on the company's profit<br />
margins due to high international oil<br />
price and the regulated retail price at its<br />
outlets. An ENOC spokesman said: “As<br />
part of upgrading its older service stations<br />
and in line with the environment<br />
management policy, Emirates National<br />
Oil Company (ENOC) has decided to<br />
suspend the operations of three sites in<br />
Sharjah, all of which are more than 20<br />
years old. The resources at these sites,<br />
including manpower, are being deployed<br />
to newer service stations.”<br />
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7-Eleven announces agreement with Mobil<br />
7-Eleven Stores Pty. Ltd. announced it will<br />
enter into a sole supply agreement with Mobil<br />
Oil Australia Pty. Ltd. from 1st January 2012.<br />
According to Chief Executive Officer Warren<br />
Wilmot, the company currently sources fuel<br />
from both Shell and Mobil. National Fuel<br />
Manager John Pettit says a one supplier<br />
agreement will provide synergies and better<br />
economy of scale. “Although the security of<br />
Indian Oil to automate all its petrol stations<br />
State-owned Indian Oil Corporation (IOC)<br />
has embarked upon the process of “automation”<br />
of its retail stations in the country to<br />
improve services, a top company official said:<br />
The company, which has earmarked about<br />
14 000 crore rupee for capital expenditure this<br />
fiscal, owns about 19 000 fuel stations across<br />
the country. “We have taken up a programme<br />
on automation of all the retail petrol stations.<br />
Initially we will cover 4 500 petrol stations<br />
which retail about 200 kl of fuels every month”,<br />
Indian Oil Chairman and Managing Director<br />
RS Butola informed. In the first phase, about<br />
1 600 petrol stations have been identified and<br />
are in the process of automation, he said,<br />
Investors interested in angola's gas<br />
Angola's liquid natural gas (LNG), which is<br />
due to start being produced in the next few<br />
months, is raising the interest of international<br />
investors, who have several projects in the<br />
design stages, according to the Economist<br />
Intelligence Unit (EIU). Sonangol, the concession<br />
holder for Angola's oil and natural<br />
gas, recently announced that natural gas<br />
production would begin in November of<br />
aramco assures no shortage of premium gasoline<br />
Saudi Aramco has assured users of Premium<br />
95 grade of gasoline that there is no shortage<br />
and that the market is adequately supplied.<br />
In a written statement, Saudi Aramco denied<br />
reports appearing in the local media<br />
that Premium 95 gasoline is in short supply,<br />
especially in Riyadh. “There is no shortage<br />
of Premium 95 gasoline in the Kingdom”,<br />
Saudi Aramco asserted in a written release.<br />
Central asia feels fuel pinch as russia cuts supply<br />
A shortage of fuel in Russia is hurting millions<br />
beyond its borders in Central Asia,<br />
where former satellite states still rely almost<br />
completely on Moscow's gas supplies – and<br />
its decisions to tighten the taps from one day<br />
to the next. Russia's government responded<br />
this week to domestic fuel shortages by hiking<br />
a dual supply arrangement can be attractive<br />
it has been far outweighed on this occasion<br />
by the commercial benefits realised through<br />
leveraging our total volume through the one<br />
supply arrangement. By consolidating our<br />
fuel supply base we also leverage existing<br />
logistics arrangements which will enable<br />
us to more efficiently and effectively deliver<br />
fuel to each of our stores”, Mr Pettit added.<br />
adding that after completing the 4 500 petrol<br />
stations, they would move to petrol pumps<br />
that retail about 100 kl every month. On their<br />
future plans, Butola said about 14 000 crore<br />
rupee has been fixed for this financial year<br />
as the capital expenditure.<br />
this year and that exports would start in<br />
the first quarter of 2012. According to<br />
the CIA World Factbook, Angola's proven<br />
reserves stand at around 272 million cubic<br />
metres and are amongst the top 40 in the<br />
world. These proven reserves increased more<br />
than five-fold from 2007 to 2008, with the<br />
discovery of some 220 billion cubic metres,<br />
the EIU said.<br />
“We have not received any complaint from<br />
distributors or customers regarding shortage<br />
of Premium 95 gasoline from any region,<br />
including Riyadh region”, the Saudi Aramco<br />
statement said. According to Aramco, the<br />
supply of Premium 95 gasoline is being maintained<br />
through meticulous planning, studies<br />
and research, working with distributors to<br />
meet current demand and in coming months.<br />
export fees and imposing a temporary export<br />
ban on fuel, measures that threaten to cause<br />
severe deficits in impoverished Kyrgyzstan<br />
and Tajikistan. In those mainly Muslim<br />
countries, which lie on China's mountainous<br />
western frontier, the stakes are high as<br />
the all-important sowing season beckons.<br />
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Can't pay – air India<br />
grounds 60 flights<br />
Losses are taking a huge toll over the<br />
national carrier Air India. After a major<br />
strike over pay parity with its pilots, Air<br />
India has been forced to ground 10 percent<br />
of its fleet to tide over unpaid fuel dues.<br />
60 Air India flights have been withdrawn<br />
both from domestic and international<br />
routes, many connecting extremely busy<br />
airports like London, Delhi, Mumbai and<br />
Bangalore. This comes right in the middle<br />
of the peak travel season. Air India has<br />
been unable to clear fuel companies' dues<br />
of 2 700 crore rupee. So, last week the<br />
oil companies refused it additional credit.<br />
Now, the airline is forced to fly only on a<br />
pay-and-fly basis since it does have the<br />
money to fly its entire fleet every week.<br />
Ghana moves to<br />
increase safety<br />
The Association of Oil Marketing Com -<br />
panies of Ghana (AOMC) initiated an<br />
industrial campaign to review the status<br />
of safety awareness on the management of<br />
petroleum products to avert accidents. Mr<br />
Kwaku Agyemang Duah, AOMC Industrial<br />
Co-ordinator informed that the campaign<br />
seeks to consolidate laws relating to safety<br />
in the transportation, storage and utilisation<br />
of petroleum products. He said the<br />
AOMC safety campaign was opening a<br />
new working relationship with regulatory<br />
authorities including Environmental Protection<br />
Agency to ensure compliance. Mr<br />
Agyemang Duah added: “Public education<br />
on petroleum product safety would be intensified<br />
and broaden while simple guideline<br />
leaflets would be circulated and planted<br />
at vantage point to instruct customers at<br />
filling stations.”<br />
thumbs up or a cold<br />
shoulder<br />
BP Tanzania filling stations will soon<br />
rebrand to Puma Energy – complete with<br />
its corporate colours of olive green and red,<br />
including a mountain lion insignia – as<br />
takeover procedures enter an advanced<br />
stage. The process, to allow Puma Energy<br />
acquire a 50 percent stake in BP Tanzania<br />
is now in the hands of the Fair Competition<br />
Commission (FCC) which is empowered by<br />
law, to investigate the merger before giving<br />
it a thumbs up or a cold shoulder. Prior to<br />
the intended acquisition, Puma Energy – is<br />
a subsidiary of the Amsterdam-based commodities<br />
trader Trafigura Beheer.<br />
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12<br />
Gilbarco expands<br />
pump tV coverage<br />
Gilbarco Veeder-Root and its digital media<br />
partner Outcast Media are taking their<br />
fuel-pump TV system nationwide, according<br />
to an announcement. Gilbarco is based in<br />
Greensboro and makes fuel pumps and retail<br />
systems for gas stations around the world.<br />
The system developed with California-based<br />
Outcast Media is called Applause TV and<br />
it provides entertainment programming and<br />
marketing designed to lure gas pumpers<br />
into the station's convenience store. The<br />
monitors are integrated into the pumps<br />
and programming includes content from<br />
CBS, ABC and Comedy Central among<br />
others. The program was introduced in<br />
20 large markets last fall but is now being<br />
made available nationally because of its<br />
success, the companies said.<br />
EasyFuel boosts oil<br />
and gas with e-payment<br />
solution<br />
EasyFuel Limited, a new Nigerian company<br />
engaged in the provision of e-payment solutions<br />
in the downstream oil and gas sector,<br />
has launched a new range of products.<br />
This new system will eliminate the use<br />
of cash in buying fuel at filling stations<br />
across the country in line with global trend<br />
towards cashless solutions. With these new<br />
solutions, a customer may purchase fuel<br />
with simply a bank card or any of EasyFuel's<br />
proprietary e-payment products, SpeedPass,<br />
Sprint or e-Go which may be installed in the<br />
vehicle or issued as contact-less fobs. The<br />
EasyFuel system also accepts bank-issued<br />
Automated Teller Machine (ATM) debit and<br />
credit cards thereby enabling customers<br />
to pay for their fuel electronically from<br />
their current and checking bank accounts.<br />
E&S welcome thai visitors<br />
E&S Environmental with their sister company<br />
Flowco Ltd (Thailand) were delighted to<br />
assist the Thai Government in an exchange<br />
of ideas leading to amendments on local<br />
regulations to enhance safety at petrol<br />
stations in Thailand. E&S Environmental<br />
organised a seminar venue in Oxford,<br />
speakers were Mark Calvert MD for Adler<br />
& Allan, Nobby Clark Chairman of E&S<br />
Environmental and principal speaker Dr.<br />
Philip Nathan Head of R&D for A&A.<br />
E&S spoke on issues relating to biofuels<br />
and precision tank testing using MassTech<br />
technology, starting a lively debate followed<br />
by questions on all aspects of petrol station<br />
safety measures and storage of biofuels.<br />
All text on this page is submitted and written by suppliers. Please email product news to editor@erpecnews.com<br />
wayne to encourage more Flex-Fuel pumps<br />
Wayne has announced its incentive program<br />
for distributors in conjunction with the Indiana<br />
Corn Marketing Council's (ICMC) Flex-Fuel<br />
Pump Program. The Flex-Fuel Pump Program<br />
is a cost-sharing program that provides funding<br />
to fuel retailers to help offset the costs of<br />
flex-fuel pumps. Flex-fuel dispensers allow<br />
consumers to choose the particular blend of<br />
ethanol they wish to use to fuel their vehicles<br />
The ICMC Flex-Fuel Pump Program offers<br />
Petro Vend celebrates 50 years in fuel-controls<br />
OPW Fuel Management Systems, part of OPW<br />
Fueling Components and one of the world's<br />
leaders in the design and manufacture of tank<br />
gauges and automated fuel-control systems, is<br />
proud to announce its celebrating 50 years in<br />
the fuel controls industry. Originally founded<br />
tokheim launches new commercial fleet offering<br />
Tokheim has announced that it is launching<br />
a range of new products and speciality services<br />
for the commercial fleet marketplace. A<br />
multimillion-euro investment in research and<br />
development plus a new dedicated team of<br />
commercial experts will now provide specialist<br />
products and services worldwide. The new<br />
suite of products, called DiaLOG, has been<br />
designed with commercial fleet customers<br />
in mind; these include transport and bus<br />
OPw FMS appoints Engineering Manager,<br />
Product development<br />
OPW Fuel Management Systems, a business<br />
unit of OPW Fueling Components, announced<br />
that it has named Joe Dowling as Engineering<br />
Manager, Product Development. In this<br />
new position, Dowling will be responsible for<br />
co ordinating resources for new product development<br />
and will report directly to Tony Mills,<br />
New structure for the sales organisation at Hectronic<br />
Hectronic is setting the course towards the<br />
future with the restructuring and the expansion<br />
of the sales network. The aim of the company<br />
is to be able to react even more flexibly to<br />
market challenges. Furthermore, the realigned<br />
organisation ensures far more customer proximity<br />
and a higher degree of customer loyalty.<br />
The regional sales staff can now respond in<br />
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eligible fuel retailers grants that equate to<br />
50 percent of cost or US $ 20 000, whichever<br />
is less, for a Flex-Fuel pump, hardware and<br />
storage tank, or for the cost of converting an<br />
existing conventional fuel dispenser to an<br />
ethanol-blender. The ICMC program is open<br />
to both new and existing fuel retailers in<br />
Indiana. Wayne is providing additional incentives<br />
to the ICMC grant funding through the<br />
Wayne distribution channel.<br />
in 1961, Petro Vend led the way in fuel-control<br />
system innovations during its first few decades<br />
of existence. Then, in 1988 Petro Vend was<br />
acquired by OPW Fueling Components, but<br />
was marketed as the leading fuel-control systems<br />
brand. Following the acquisition, OPW<br />
also acquired EMCO Electronics in 2002 and<br />
combined its fuel-control operations under<br />
the newly created OPW Fuel Management<br />
Systems business unit.<br />
companies as well as the emergency services.<br />
Remco Rengers, Business Development Manager<br />
Commercial Fleet said, “Although we<br />
have strong experience at a local level, it is the<br />
first time that Tokheim has launched a true<br />
Europe wide range of products and services<br />
specifically tailored for commercial fleet. Our<br />
new model also benefits from the synergies<br />
with our pan-European maintenance, service<br />
and construction network.”<br />
Director, Engineering & Product Development.<br />
Prior to joining OPW, Dowling held the position<br />
of product line manager at MITEQ / MCL Inc.,<br />
Bolingbrook, IL. In this role, he managed a<br />
core team of electrical, mechanical and power<br />
supply engineers engaged in the development<br />
of multiple indoor high power amplifiers.<br />
more detail to individual requirements and the<br />
needs of the clients than was possible with the<br />
previous structure. “With the new organisation<br />
we hope to achieve more customer proximity<br />
and local presence. Furthermore, it will be<br />
more efficient in managing and focussing the<br />
sales power”, Stefan Forster, Hectronic GmbH,<br />
Managing Director said.
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13
FEatUrE – tV MarKEtING<br />
14 LatESt NEwS, EVENtS, JObS ONLINE – www.PEtrOLPLaza.COM<br />
Stay updated!<br />
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Nupigeco hosts Smartflex distributor conference<br />
80 delegates attended the Conference in<br />
May where the focus was on new Smartflex<br />
products and tooling, including presentations<br />
on the new Smartflex 110/125 mm and<br />
160/225 coaxial systems, new Smartconduit<br />
earth cap and cable draw pits and new Rock<br />
Pipe technology. This was enhanced by hands<br />
on practical demonstrations on these new<br />
products as well as the new welding machine<br />
with the ancillary equipment for downloading,<br />
pressure and vacuum testing. Other sessions<br />
were dedicated to the ITS (Interactive Tracking<br />
System) for traceability and the new website<br />
featuring the on-line Product Catalogues. The<br />
Q&A sessions were actively participated in,<br />
allowing all Nupi distributors to compare and<br />
share experiences with the other distributors<br />
from all over the world.<br />
tokheim awarded dispensing contract by Shell<br />
Tokheim has announced it has been selected<br />
as a global supplier of fuel dispensers for<br />
Shell service stations. The implementation<br />
of the agreement, which will run until 2016,<br />
has already started with the first successful<br />
installations in the Benelux, Germany, Italy<br />
turpak install 250 station automation systems<br />
in one month!<br />
New regulations in Turkey state that all<br />
stations have to be equipped with pump<br />
and tank automation systems. However<br />
even though this was announced 3 years<br />
ago, Oil companies only recently stepped<br />
up efforts to abide by the new rugulation<br />
just ahead of the deadline. Turpak Technology<br />
who have a contract with 11 major<br />
Oil companies in Turkey have automated<br />
Harlequin launches new Slimline fuel station range<br />
Harlequin Plastics a leading European manufacturer<br />
of oil, diesel, waste oil and water<br />
tanks has identified similar demand within<br />
the diesel fuel market and have designed<br />
a range of revolutionary Slimline Fuel Stations,<br />
available in 1 300 litre and 2 500 litre<br />
capacities. In addition to the advantages<br />
of incorporating slimmer frame designs,<br />
and the UK. Tokheim see the supply of the<br />
Quantium dispensers to Shell as a part of the<br />
partnership process and are fully committed<br />
to achieving an excellent level of support for<br />
them through a current network of Sales and<br />
Service Divisions in thirty countries.<br />
a total of 7 500 stations, 1 200 in the last 6<br />
months and 250 last month alone! Turpak<br />
also have a new web based monitoring<br />
system accessed via the internet or mobile<br />
phone enabling Oil companies to keep tabs<br />
on Tank levels and sales, system alarms<br />
and calls for maintenance. As from July<br />
5 000 station managers will begin using<br />
the system.<br />
Harlequin Slimline Fuel Stations will also<br />
benefit from cutting edge fuel management<br />
technology and high spec security features.<br />
Harlequin's product development team made<br />
the decision to create a space saving fuel<br />
tank, which could offer the convenience<br />
of forecourt refuelling capabilities with<br />
minimal space requirements.<br />
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dresser wayne<br />
acquires 4tech aS<br />
PrOdUCt NEwS<br />
CSG takes on MrH<br />
Main tenance Programme<br />
MRH Retail, a leading UK independent<br />
fuel forecourt operator, has awarded waste<br />
management specialist Cleansing Service<br />
Group (CSG) a contract to carry out a<br />
nationwide environmental services and<br />
maintenance programme at all of its sites.<br />
MRH which owns and operates over 300<br />
service stations and accounts for around<br />
four percent of motor fuel sales in the UK,<br />
has granted CSG a three-year contract<br />
to provide a ‘one stop shop’ portfolio of<br />
drainage maintenance services. MRH<br />
Retail's Managing Director, John Lynn,<br />
said CSG had been chosen because of its<br />
reputation in the sector and the national<br />
coverage it could provide.<br />
Dresser Wayne, has acquired the assets<br />
of 4tech AS, a fuel tank measurement<br />
system company headquartered just<br />
outside Oslo, Norway. The acquisition<br />
adds 4tech's full suite of automatic<br />
tank gauging (ATG) products to Dresser<br />
Wayne's portfolio. Serving 145 countries,<br />
Dresser Wayne will capitalize on its global<br />
scale to bring 4tech's deep understanding<br />
and experience in ATG technologies to a<br />
growing number of fuel retailers around<br />
the world. “Our goal is to provide fuel<br />
retailers with several important advantages.<br />
One is to help them manage their<br />
businesses more easily by establishing<br />
a single point of contact for 4tech ATG<br />
systems and Dresser Wayne products”,<br />
said Roar Jakobsen, ATG Finance and<br />
Operations Director for Dresser Wayne.<br />
FuelCom and MiniCom ATG control<br />
system hardware and software products<br />
will also be integrated into the Dresser<br />
Wayne global product portfolio.<br />
15
ErPEC – PHOtO GaLLEry<br />
16<br />
With 1 500 meetings<br />
to get through,<br />
there's a great deal<br />
of talking to do!<br />
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erpec 11 – Photo Gallery<br />
Hotel Rey Juan Carlos, Barcelona, May 10th – 12th 2011<br />
LatESt NEwS, EVENtS, JObS ONLINE – www.PEtrOLPLaza.COM<br />
ErPEC – PHOtO GaLLEry<br />
By Nick Needs<br />
It was typical first day's business at erpec 11.<br />
Over 220 delegates from all over the world<br />
arrived on tuesday afternoon, having lunch<br />
prior to hearing the opening conference<br />
session, which this year was sponsored by<br />
OPw. Oil companies, retailers, distributers,<br />
PMC's, mainte nance companies and the<br />
vast majority of international equipment<br />
suppliers met and mingled at every opportunity.<br />
Later that evening the welcome<br />
drinks reception, followed by dinner, set<br />
the tone for the two days ahead, with a<br />
rousing speech from Event organiser Nick<br />
Needs, asking for delegates to open up<br />
their minds to the many new ideas which<br />
will confront them throughout the one to<br />
one business sessions. as usual delegates<br />
responded in typical erpec fashion, with<br />
the oil companies and buyers making as<br />
much of their time available as possible to<br />
listen to the many supplier presentations.<br />
17
ErPEC – PHOtO GaLLEry<br />
18<br />
when the business is over the social<br />
activities begin and this year, loading<br />
everyone on coaches for the team<br />
challenge and taking them down to<br />
the centre of barcelona on wednesday<br />
afternoon was a task worthy of a prize<br />
itself. Eventually everyone reached the<br />
start point and embarked on a two hour<br />
quest involving barcelona history, a visit<br />
to the ramblas and a certain amount of<br />
drinking for anyone who arrived at the<br />
rendezvous point on time. dinner at a<br />
restaurant in the Olympic Marina on<br />
wednesday evening, was followed by a<br />
spectacular occasion on the final night<br />
where delegates were entertained by<br />
a tribute rock band, performing all the<br />
famous songs of ‘Queen’. For batuhan<br />
Kiroglu of turkish equipment manu facturer<br />
Mepsan, the cake and fireworks was<br />
his personal birthday surprise!<br />
LatESt NEwS, EVENtS, JObS ONLINE – www.PEtrOLPLaza.COM
erpec 11 – Photo Gallery<br />
Hotel Rey Juan Carlos, Barcelona, May 10th – 12th 2011<br />
LatESt NEwS, EVENtS, JObS ONLINE – www.PEtrOLPLaza.COM<br />
ErPEC – PHOtO GaLLEry<br />
By Nick Needs<br />
With the business<br />
over, the social<br />
side offers even<br />
more ways to make<br />
new contacts!<br />
19
20<br />
wright Express to<br />
expand internationally<br />
Wright Express has become a major processor<br />
of fuel purchases and aims to expand internationally.<br />
Twenty-eight years ago, Wright<br />
Express operated a fuel purchase system<br />
at two gas stations in Portland and one in<br />
South Portland, USA. Today, the company's<br />
fuel credit cards are accepted at most of the<br />
nation's 150 000 stations and at gas pumps<br />
overseas. With nearly US $ 400 million in<br />
annual revenue, the South Portland-based<br />
company has become one of the largest players<br />
in the back-office business of processing<br />
fuel purchases. President and CEO Michael<br />
Dubyak attributes his company's growth to a<br />
loyal work force, business diversification and<br />
continuing overseas acquisitions. Processing<br />
fuel purchases is the primary business of<br />
Wright Express, which employs 872 staff,<br />
including 562 in South Portland.<br />
who will pay for debit<br />
card swipe fees?<br />
A move by the US government to limit debit<br />
card fees has set off a clash between banks<br />
and retailers. Americans may have thought<br />
the debate over capping debit card fees was<br />
over after a law was passed last year that<br />
mandated limits. But there remains a lobbying<br />
war between two colossi of political<br />
clout – banks and retailers.<br />
CItGO collaborates<br />
on new retail image<br />
CITGO Petroleum Corp. worked with Stantec<br />
Architecture and Bedrock Brands to design the<br />
new retail image for its network of nearly 6 100<br />
gas stations and 200 Fast Lube facilities. The<br />
new exterior design and graphic elements mark<br />
the company's first reimaging in more than<br />
10 years. The new image features a dynamic<br />
graphic that leverages the brand equity of the<br />
signature CITGO Trimark logo. A bold new<br />
triangular design – named the Triform – uses<br />
the three colors of the Trimark. The new image<br />
will be featured on every canopy, dispenser<br />
skirt and valance. CITGO aims to reimage<br />
all of its nearly 6 100 locally owned branded<br />
gasoline stations and nearly 200 CITGO Fast<br />
Lube locations over the next few years.<br />
USA News<br />
Eliminating dispenser-based vapor recovery<br />
The U.S. Environmental Protection Agency<br />
(EPA) is proposing a plan to eliminate the<br />
redundant obligation for many states to require<br />
Stage II vapor recovery systems at gas stations<br />
because modern vehicles already have effective<br />
air pollution control technologies. The<br />
anticipated savings over the next decade is<br />
about US $ 670 million, the White House<br />
Costco Wholesale Corp will soon start selling<br />
gasoline at its Chicago warehouse store, a move<br />
that should drive more sales even if it decreases<br />
the rate of profitability at the club. Costco, the<br />
largest warehouse chain, keeps its costs low<br />
with a no-frills approach that includes basic<br />
displays of pallets of goods. It passes savings<br />
along to members, who pay annual fees of up<br />
Valero, the largest independent refiner in the<br />
US, is designing its new gas stations to offer a<br />
much wider variety of energy products, including<br />
natural gas, E85 ethanol, and potentially<br />
recharging facilities for electric vehicles. The<br />
economics of doing this now, when the market<br />
for non-petroleum fuels is still comparatively<br />
small, look challenging but is considered to<br />
represent the template for the new retail energy<br />
If you're a frequent international traveller,<br />
you're likely familiar with, or may have even<br />
experienced, difficulty making a purchase<br />
with your US credit card while traveling<br />
abroad. That's because over the last several<br />
years many countries outside of the US have<br />
switched from magnetic swipe cards to chip<br />
and pin credit cards. Instead of swiping and<br />
signing for a purchase, the new technology<br />
ExxonMobil is launching its latest in mobile<br />
technology – the ExxonMobil Fuel Finder<br />
application for Android. The application gives<br />
real-time maps, driving directions, and station<br />
information for nearly 10 000 Exxon and<br />
Mobil retail locations across the continental<br />
United States. “This new app continues our<br />
record of delivering what consumers want and<br />
need”, says Chris Mahoney, U.S. branded<br />
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– www.PEtrOLPLaza.COM<br />
said: According to a report by the National<br />
Association of Convenience Stores (NACS),<br />
the Clean Air Act empowers the EPA to repeal<br />
these requirements once onboard vapor<br />
recovery systems installed on vehicles reach<br />
“widespread use”. The definition of widespread<br />
use, however, has been a source of contention<br />
for several years.<br />
Costco enter high-priced Chicago gas market<br />
the future energy station arrives<br />
to US $ 100 to shop in its massive stores. The<br />
formula also works in the gas business, where<br />
Costco monitors prices at nearby stations and<br />
matches or undercuts them in order to bring<br />
drivers over to its pumps. With high gas prices<br />
on the minds of shoppers, Costco has seen yearover-year<br />
gains in the number of gallons it sells,<br />
said Chief Financial Officer Richard Galanti.<br />
facilities that will be built in the next several<br />
decades. Valero's new station design embodies<br />
the result of trends that companies such<br />
as Texaco Inc., identified in the late 1990s<br />
in a scenario called Multiple Choice Energy,<br />
a combination of new vehicle technologies<br />
such as hybrids, EVs and fuel cells, as well<br />
as a vision of the retail network that would<br />
meet their needs.<br />
Chip-and-PIN technology introduced in the US<br />
reads a chip in the card and the customer<br />
then enters a PIN to verify and complete<br />
the transaction. If this has been a source of<br />
frustration, then you may be in luck. Two US<br />
banks have announced they're getting into the<br />
chip and pin credit card game. Most of Europe<br />
has adopted chip-and-pin technology, as have<br />
many countries in Asia and South America,<br />
also Canada is converting over.<br />
ExxonMobil station locator application<br />
wholesale manager for ExxonMobil Fuels<br />
Marketing. “Since the iPhone and iPad version<br />
of this app was introduced in November<br />
2010, it's had over 26 000 downloads. Our<br />
customers have been very interested in when<br />
the same technology would be available for<br />
their Androids, and now they can more easily<br />
and more efficiently find an Exxon or Mobil<br />
station no matter where they are.”
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22<br />
Germany to get<br />
hydrogen fuel station<br />
network<br />
The development of a German network of<br />
hydrogen filling stations is gaining pace. The<br />
automotive manufacturer Daimler AG and<br />
the Linde technology group announced in<br />
Stuttgart that they intended to open 20 new<br />
filling stations in Germany over the next<br />
three years. This will more than triple the<br />
number of public hydrogen filling stations<br />
in the country. The new stations are to be<br />
set up in the regions of Stuttgart, Berlin and<br />
Hamburg, which are already supplied with<br />
hydrogen along the most popular North-South<br />
and East-West axis. For the first time, this<br />
would enable every location in Germany<br />
to be reached by a fuel-cell vehicle by the<br />
year 2015.<br />
EV quick-chargers<br />
in first phase of<br />
‘Green Highway’<br />
As part of the ‘Green Highway’ project where<br />
California, Oregon and Washington are<br />
partnering to turn Interstate 5 into the first<br />
alternative-fuel-friendly freeway in the U.S.,<br />
AeroVironment is installing Level 3 EV quick<br />
chargers along the route in Southern Oregon.<br />
For this first phase of the project, from the<br />
California state line to the Willamette Valley,<br />
150 miles of the highway will have convenient<br />
access to EV chargers that can fully charge<br />
a battery in 30 minutes. Eight interchanges<br />
will be picked based on common destinations,<br />
vehicle range and driving distances.<br />
The chargers will be installed by the end of<br />
the fall. The project is being funded by the<br />
American Recovery and Reinvestment Act.<br />
tOtaL hold solar exhibit<br />
at motorway sites<br />
To raise customer awareness of solar energy,<br />
the 126 TOTAL motorway stations in France<br />
have launched the 1.2.3. Soleil operation running<br />
to the 17 July. The exhibition is visible<br />
in all TOTAL motorway stations explaining<br />
solar power to young people and the stations’<br />
customers.<br />
ALTERNATIVEFUeL News<br />
Ireland's first electric taxis take to the road<br />
One of Europe's first electric taxi services has<br />
been launched in Dublin, offering people a<br />
taste of how environmentally friendly electric<br />
Charging EVs as quick as pumping gas<br />
There might be a quicker and easier way to<br />
charge your EV, thanks to a team of researchers<br />
at MIT who created a liquid-flow battery for<br />
EVs that can be recharged in the same amount<br />
of time it takes to fill up a gas tank. The battery<br />
involves a black and gooey electrolyte which<br />
holds suspended positive and negative electrodes<br />
Gasoline from pine and corn waste<br />
Three global companies from the worlds of<br />
agriculture, petroleum and car manufacturing<br />
are lead investors in a company called Virent,<br />
which has developed a biogasoline that is practically<br />
the molecular equivalent of conventional<br />
gasoline. The milestone is significant because<br />
the feedstock consists of woody, non-food waste<br />
from pine and corn (aka corn stover), a vast<br />
improvement over corn, soybeans and other<br />
food crops. The partnership is also significant<br />
LatESt NEwS, aLtErNatIVE EVENtS, FUEL JObS NEwS ONLINE – www.PEtrOLPLaza.COM<br />
– www.PEtrOLPLaza.COM<br />
NEwS<br />
Shell and Cosan: a lower-carbon future with biofuels<br />
Shell and Cosan launched a multi-billion dollar<br />
joint venture that will become a leading producer<br />
of the low-carbon biofuel, ethanol made from<br />
sugar cane. Named Raízen, this major retail<br />
and commercial fuels company will operate<br />
transport can enhance city living. ESB ecars<br />
and Dublin-based NRC Taxis teamed up to<br />
offer the first electric taxi (e-taxi) service in<br />
Ireland. The new initiative was unveiled in<br />
Dublin City by ESB Chief Executive Padraig<br />
McManus and NRC Director Liam Brady today.<br />
Two e-taxis will now operate on Dublin's streets,<br />
including one wheelchair-accessible vehicle.<br />
This is one of the first “working” electric taxi<br />
schemes in Europe and is part of a wider EU<br />
research programme that includes gathering<br />
data on the performance of electric transport<br />
in an urban setting.<br />
that provide the EV with juice. When all the<br />
energy has been zapped out of the electrolyte,<br />
you can simply remove a container holding the<br />
goo from the battery and recharge it. Then you<br />
can put it back in the battery and you're ready to<br />
go. The team at MIT envisions this happening<br />
as quickly and easily as it takes to pump gas.<br />
because the three companies are Honda, Shell<br />
and Cargill and Virent is one of 17 members of<br />
the National Advanced Biofuels Consortium,<br />
which funded the biogasoline project through<br />
a grant from the U.S. Department of Energy.<br />
With global corporate support building for<br />
alternative fuels, it seems that the Obama<br />
administration is cultivating some powerful<br />
new allies to counteract pressure from the<br />
fossil fuel industry.<br />
in Brazil, one of the world's fastest-growing<br />
markets. Raízen will produce and sell over 2<br />
billion litres a year of the lowest-carbon biofuel<br />
commercially available – ethanol made from<br />
Brazilian sugar cane. Raízen will distribute<br />
biofuels and over 20 billion litres of other industrial<br />
and transport fuels annually through<br />
a combined network of nearly 4 500 Shellbranded<br />
service stations. In Brazil it becomes<br />
the third largest fuels company. Plans would<br />
extend the company's reach in future years<br />
to export more ethanol to other key markets.
www.alucobond.com<br />
www.bennettpump.com<br />
www.bennett-sauser.ch<br />
www.beverinnovations.com<br />
www.brugg.de<br />
www.dresserwayne.com<br />
www.plxpipe.com<br />
www.eandsgroup.co.uk<br />
www.eurotank.eu.com<br />
www.fafnir.com<br />
www.franklinfueling.com<br />
www.gilbarco.eu<br />
www.hectronic.com<br />
www.iisltd.com<br />
www.istobal.com<br />
www.kpsystem.com<br />
www.kubald.com<br />
www.leightonobrien.com<br />
www.mepsan.com.tr<br />
www.emergy.net<br />
www.nupigeco.com<br />
www.ono-oil.com<br />
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wEbSItES aNd LOGOS – SUPPOrtING ErPECNEwS<br />
www.opw-fce.com<br />
www.christ-ag.com<br />
www.petrotec.eu<br />
www.planova.com<br />
www.psdcodax.com<br />
www.ruudlighting.net & www.ruudled.net<br />
www.scheidt-bachmann.com<br />
www.secu-tech.at<br />
www.sloanled.com<br />
www.tanknology.com<br />
www.tokheim.com<br />
www.washtec.de<br />
If you have not yet sent us your logo and website address, please do so for the next issue by mailing editor@erpecnews.com<br />
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