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an international retail petroleum news digest<br />

www.erpecnews.com<br />

TOTAL sells 48.83 percent stake of Spanish<br />

company CEPSA to IPIC<br />

TOTAL and IPIC have signed an agreement<br />

whereby TOTAL will sell its 48.83 percent<br />

share in the capital of CEPSA. This sale will<br />

take place pursuant to a public takeover bid<br />

over the entire share capital of CEPSA that<br />

IPIC has undertaken to file with the Spanish<br />

Securities Commission CNMV. IPIC will offer<br />

28 euros per share of CEPSA and a dividend<br />

OMV warns it may shut down production in Lybia<br />

The prospect of further rises in oil prices<br />

sparked by the crisis in Libya fanned concerns<br />

about global growth. Austrian oil and<br />

gas group OMV warned it may have to shut<br />

down its production in Libya. All eyes are on<br />

the Middle East and comment from Gaddafi<br />

of 0.50 Euro per share shall be paid to existing<br />

shareholders. TOTAL has undertaken<br />

irrevocably to tender its shares into the offer<br />

and will receive an amount of approximately<br />

3.7 billion euros. The transaction is conditioned<br />

on obtaining all requisite government<br />

approvals. IPIC, a wholly owned entity of the<br />

Government of the Emirate of Abu Dhabi, is<br />

currently a shareholder of CEPSA with a stake<br />

of 47.06 percent. CEPSA is the second largest<br />

Spanish oil company with a refining capacity<br />

of 528 000 barrels per day, a network of approximately<br />

1 750 service stations in Spain<br />

and Portugal and a hydrocarbons production<br />

of approximately 55 000 barrels per day.<br />

has the market worried as Libyan unrest could<br />

cut more output in the region. OMV, which<br />

in 2010 got around a tenth of its total output<br />

from Libya, fell 5.4 percent after warning it<br />

expected a temporary fall in Libyan production<br />

and could not exclude a complete shutdown.<br />

Turkish fuel retailer Delta plans acquisitions<br />

Delta Akaryakıt Ticaret, a closely held Turkish<br />

company that runs gas stations under<br />

the “Gulf” brand, is considering buying a<br />

company in 2012 to help increase its market<br />

share six-fold by 2016, an executive said. The<br />

Istanbul-based company plans to increase<br />

sales by 70 percent to $ 230 million this year<br />

from 2010, Vice President Latif Aral said in an<br />

interview. Delta, which operates in Turkey only,<br />

will probably boost sales volume 52 percent to<br />

130 000 cubic metres of petroleum products<br />

this year, he said.<br />

Issue No 26 | March 2011<br />

<strong>european</strong> <strong>edition</strong><br />

Shell receives offer<br />

for UK refinery<br />

Shell confirmed it has received an offer from<br />

Essar Energy to buy its 272 000 barrel-perday<br />

Stanlow refinery and associated local<br />

marketing businesses in the UK for a total<br />

expected consideration of some US $ 1.3<br />

billion. The two companies have signed<br />

an exclusivity agreement until April 2011,<br />

under which ‘break’ fees would be payable<br />

if either company fails to sign an asset sales<br />

agreement. Pursuing this deal is aligned<br />

with Shell's strategy to concentrate its<br />

global manufacturing portfolio on larger<br />

and more sophisticated assets. In addition<br />

to the proposed sale of the assets the two<br />

companies would enter into an exclusive<br />

five year crude supply contract from Shell<br />

to Essar and into long-term agreements<br />

for the supply of products in the UK<br />

by Essar to Shell.<br />

TPAO to sell 50 percent<br />

of fuel retailer unit<br />

Turkiye Petrolleri (TPAO), Turkey's staterun<br />

oil company, is in talks with local<br />

and foreign companies on the sale of a<br />

stake in its fuel retailer unit, government<br />

officials informed. “A 50 percent stake<br />

may be sold, though it's hard to give an<br />

exact size at this point”, one official said.<br />

He added the sale may be finalised this<br />

year. He declined to say which companies<br />

were involved.<br />

erpecnews is published by McLean events in conjunction with PetrolPlaza – www.erpecnews.com


CrEDITS<br />

2<br />

European Office<br />

com-a-tec GmbH<br />

Am Krebsgraben 15<br />

78048 VS-Villingen<br />

Tel + 49 (0) 7721 9830-0<br />

Fax + 49 (0) 7721 9830-70<br />

www.erpecnews.com<br />

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Tel + 44 (0) 1483 810670<br />

Publisher<br />

McLean Events Europe Ltd<br />

Nick Needs<br />

nick@erpecnews.com<br />

Tel + 44 (0) 7786 607075<br />

News<br />

PetrolPlaza.com<br />

Bodo Schwarz<br />

petrolplaza_editor@com-a-tec.de<br />

Tel + 49 (0) 7721 9830-41<br />

Art Director<br />

Ramona Raithel<br />

ramona.r@com-a-tec.de<br />

Tel + 49 (0) 7721 9830-0<br />

Marketing Manager<br />

Sandra Stroppel<br />

sandra.s@com-a-tec.de<br />

Tel + 49 (0) 7721 9830-0<br />

Commercial Manager<br />

Stephen Bozdan<br />

stephen@erpecnews.com<br />

Tel + 44 (0) 1483 810670<br />

Advertising will be accepted in each issue<br />

on a limited basis. All requests for advertising should<br />

be sent to advertising@erpecnews.com<br />

Editorial<br />

News items and product news can<br />

be sent to editor@erpecnews.com<br />

Printed by<br />

Todt Druck + Medien GmbH + Co.KG<br />

www.todt-druck.de<br />

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 />

Copyright<br />

The views expressed in print are those of the<br />

author and do not necessarily represent those of<br />

the publisher, McLean Events Europe Ltd. All<br />

rights reserved. No part of this publication may<br />

be reproduced, stored in a retrieval system or<br />

transmitted in any form or by means electronic,<br />

mechanical, photocopying, recorded or otherwise<br />

without the prior permission of the copyright holder.<br />

McLean Events<br />

Entrepreneur Yeremeev buys the rOS network<br />

of petrol filling stations in Ukraine<br />

Ihor Yeremeev, owner of the Continuum<br />

group of companies, which controls the<br />

WOG chain of gasoline filling stations,<br />

has acquired the ROS chain of gasoline<br />

filling stations, which consists of 11 filling<br />

DCC to buy UK's Pace business for 28 million euros<br />

DCC has agreed a deal to buy Pace Fuelcare<br />

Ltd, a British oil distribution business, from<br />

MRH. The acquisition is still subject to<br />

clearance from the UK Office of Fair Trading.<br />

In its financial year ended September<br />

2010, Pace sold 515 million litres of fuel to<br />

independent retail petrol stations and a broad<br />

range of commercial, industrial, agricultural<br />

and domestic customers in the UK. Pace has<br />

Falling sales forces Orlen to cut prices<br />

Poland's largest refiner, PKN Orlen has<br />

been forced to lower prices of its petrol<br />

and diesel products after a drastic drop in<br />

sales noted in January 2011. Both petrol<br />

and diesel at all of Orlen's 1714 filling sta-<br />

LATEST NEwS, EVENTS, jObS ONLINE – www.PETrOLPLAzA.COM<br />

stations. During a meeting of the Association<br />

of Marketers of Petroleum Products in<br />

Ukraine he said that these stations would<br />

be re-branded within one year. Previously<br />

the ROS retail network was controlled by<br />

Parliamentary Deputy Anatolii Semynoha<br />

of the Yulia Tymoshenko Bloc-Batkivschyna.<br />

The WOG chain of filling stations consists<br />

of 368 stations nd is operated by the Kontinent<br />

NaftoTrade company, part of the<br />

Continuum group of companies. This WOG<br />

network of filling stations is the largest<br />

after the Pryvatbank group's chain of 1 550<br />

filling stations.<br />

about 240 employees and operates from 20<br />

locations across southern England and has<br />

a fleet of 86 road tankers. “The acquisition<br />

of Pace Fuelcare will further enhance DCC<br />

Energy's oil distribution business in Britain,<br />

bringing its market share to approximately<br />

15 percent”, said DCC's Chief Executive<br />

Tommy Breen and be “complementary to<br />

DCC Energy's existing business”, he added.<br />

Chevron to sell Spanish fuel business to Cepsa<br />

US oil giant, Chevron is selling its Spanish<br />

fuel, lubricants and aviation supply<br />

agreements to one of Spain's largest energy<br />

companies Compañía Española de Petróleos<br />

(Cepsa) for an undisclosed sum. Under the<br />

terms of the agreement, Cepsa will acquire<br />

62 Texaco-branded service stations in the<br />

Canary Islands, a storage facility at the port<br />

of Las Palmas de Gran Canaria, Chevron's<br />

TATNEFT to open filling stations in russia and belarus<br />

A news agency reported OJSC TATNEFT<br />

plans to launch 19 new filling stations in<br />

Russia this year. The company will open eight<br />

stations in the Yaroslav region and three stations<br />

in the Penza region. The press release<br />

aviation supply agreements with 11 airports,<br />

the lubricants blending facility in Valencia<br />

and finished lubricants sales and marketing<br />

operations in Spain. Chevron had said in March<br />

2010 that it would sell certain operations in<br />

Europe, including the Pembroke refinery in<br />

the UK, the Caribbean and select Central<br />

America markets as part of restructuring of<br />

its global refining business.<br />

said that TATNEFT also plans to launch<br />

six filling stations in Belarus. TATNEFT<br />

brought 30 filling stations on line in 2010.<br />

TATNEFT had 627 filling stations at the start<br />

of this year.<br />

tions across the country has dropped below<br />

5 zloty (1.28 euro), including the refiner's<br />

premium brands. Figures show that petrol<br />

and diesel consumption in January fell by as<br />

much as 10 percent when compared against<br />

the same period in 2010. “In January drivers<br />

markedly restricted their vehicle usage,<br />

as petrol prices crossed the 5-zloty mark, a<br />

price which seems to have proven a sort of<br />

psychological barrier”, Krzysztof Romaniuk,<br />

the Director of the Polish Organisation of<br />

Oil Industry and Trade said.


Orlen tightens grip on retail market<br />

Retail sales for PKN Orlen grew by 900<br />

million zloty last year. By the end of 2010,<br />

the Polish fuel giant had cornered over 32<br />

percent of the Polish fuel retail market,<br />

according to Marek Podstawa, head of the<br />

Turkish Oil Companies renew contracts<br />

OMV's Petrol Ofisi and units of Royal Dutch<br />

Shell and BP are among about 50 gasoline<br />

retailers competing in Turkey, where sales<br />

rose 18 percent to 44.6 billion Turkish Liras<br />

($ 28.3 billion) in the first nine months of<br />

last year, according to the Petroleum Industry<br />

Association. Fuel companies renewed their<br />

contracts with Turkey's 13 000 gas stations<br />

Shell Signs deal with Kuwait Petroleum Corporation<br />

Shell has announced it has signed a Memorandum<br />

of Understanding (MoU) with Kuwait<br />

Petroleum Corporation to jointly investigate<br />

new business opportunities. The signing<br />

ceremony was witnessed by H.E. Sheikh<br />

Nasser Al-Mohammed Al-Ahmed Al-Sabah,<br />

Kuwait Prime Minister, and David Cameron,<br />

British Prime Minister. Also in attendance<br />

were Farouq Al-Zanki, Chief Executive Office<br />

of Kuwait Petroleum Corporation, and Sami<br />

Al-Rushaid, Chairman and Managing Direc-<br />

erpec attracts three new retailers from Ukraine<br />

As part of an ongoing programme to bring<br />

in petroleum retailers from Russia and the<br />

CIS countries, erpec has to date received<br />

registrations from three companies in the<br />

Ukraine. Parallel, one of the most known<br />

Retail companies in Ukraine and two companies<br />

belonging to the TNK-BP Group<br />

have registered. TNK-BP is a leading Russian<br />

oil company and is among the top ten<br />

privately-owned oil companies in the world<br />

in terms of crude oil production. These two<br />

companies are TNK-BP Kommers, (leading<br />

company's retail sales department. Last year<br />

the company increased its share of the retail<br />

market by one percentage point. This may<br />

seem like a small amount, but when one bears<br />

in mind that the fuel market in Poland was<br />

worth 90 billion zloty (22.5 billion euros)<br />

in 2010, Orlen actually made an additional<br />

900 million zloty in 2010. This year, Orlen<br />

is planning to build new gas stations and<br />

place more emphasis on modernizing its<br />

existing stations. Currently, Orlen operates<br />

1 714 gas stations, 1 333 of which are its own,<br />

and 381 are franchisees.<br />

after a ruling by the country's antitrust body<br />

last year that such contracts must be limited<br />

to a maximum of five years from 15 years<br />

previously. Fuel companies are expected to<br />

consolidate their business this year after<br />

renewals and drop any acquisition plans until<br />

next year. About 1 200 stations switched fuel<br />

retailers during the negotiations.<br />

tor of Kuwait Oil Company. After signing the<br />

MoU on behalf of Shell companies, Malcolm<br />

Brinded of Shell said: “Today’s MoU further<br />

cements our partnership with Kuwait. We will<br />

look jointly with KPC and its subsidiaries at<br />

oil and gas opportunities to leverage Shell’s<br />

global experience while sharing best practice<br />

in the energy sector.” Shell and Kuwait Oil<br />

Company (KOC) also announced a Training<br />

Plan to build capacity of Kuwaiti staff under<br />

an Enhanced Technical Service Agreement.<br />

center for Retail activities in Ukraine) and<br />

LINIK TNK-BP (responsible for production<br />

and transportation of petroleum products as<br />

well as development and planning of Retail<br />

stations). Also registering this week for the<br />

first time was Turkish retailer Gulf. The<br />

delegates from these companies will be<br />

representing different business activities<br />

and responsibilities on the decision making<br />

level. Their attendance will give suppliers an<br />

extensive insight into the developments on the<br />

Ukrainian and Turkish Retail market as well<br />

as the structure of business processes of the<br />

Retailing companies in these countries. The<br />

full list of retailers attending or in the process<br />

of accepting an invitation to take part, can<br />

be seen on the recently re-designed website.<br />

Note: For one of the most interesting websites<br />

we have ever seen from a retail petroleum<br />

company, take a look at the Parallel site.<br />

LATEST NEwS, EVENTS, jObS ONLINE – www.PETrOLPLAzA.COM<br />

NEwS – EUrOPE<br />

SOCAr to expand<br />

network in Ukraine<br />

State Oil Co. of Azerbaijan (SOCAR) seeks<br />

to open 50 filling stations in Ukraine this<br />

year, said Azi Aslanov, a manager in the<br />

producer's Kiev office. SOCAR, which<br />

now has six filling stations in the Odessa<br />

and Mykolayiv regions, wants to have 120<br />

stations in the country by the time Ukraine<br />

hosts the Euro 2012 soccer championship,<br />

Aslanov said in an interview. Within one or<br />

two years, SOCAR will decide whether to<br />

open an oil refinery in Ukraine, he added.<br />

Karoly Lajkonew GM<br />

for OMV Serbia<br />

Karoly Lajko has been appointed General<br />

Manager for OMV Serbia, succeeding<br />

the previous General Manager Borislav<br />

Radosavljevic who continues in his capacity<br />

as Head of Corporate Procurement in<br />

OMV Aktiengesellschaft. With his exten -<br />

sive knowledge of OMV and the Serbian<br />

fuel retail market, Lajko seeks to contribute<br />

to the growth of OMV's network and<br />

to further improve OMV's retail results.<br />

Assuming his new position Lajko said: “I<br />

would like to additionally strengthen the<br />

company and our filling stations network.<br />

Like my predecessors, my aim will be to<br />

further increase the market share in retail.<br />

I undertake this task at a time when the oil<br />

derivatives market in Serbia has made great<br />

progress in the form of the liberalization<br />

of oil derivatives imports.”<br />

Tax debts in Estonia<br />

hopeless to recover<br />

There are 360 companies in Estonia that<br />

mediate fuel while in Finland there are just<br />

about ten. VAT fraud forms 85 percent of<br />

tax revenues that the state is deprived of<br />

and that figure indicates that the lifetime<br />

of freshly created fuel firms tends to be<br />

rather short. The scheme is simple: a few<br />

months of tax free operating, then bankruptcy<br />

and a new company is created. Tax<br />

and customs board deputy Director General<br />

Egon Veermäe said that the problems of<br />

the fuel sector are systematic and serious.<br />

3


NEwS – EUrOPE<br />

Ukrgazvydobuvannia to<br />

buy 84 filling stations<br />

Ukrgazvydobuvannia, a subsidiary of<br />

National JSC Naftogaz Ukraine, plans to<br />

buy 84 filling stations from ten companies,<br />

says a report of the Antimonopoly Committee<br />

of Ukraine. According to the report,<br />

filling stations would be bought from<br />

Demi production and commercial firm<br />

Ltd. (Donetsk region), Agrokhimservice<br />

Ltd. (Sumy), Regen Oil Ltd. (Cherkasy),<br />

Neon Ltd. (Luhansk region), Bina Ltd.<br />

(Kharkiv) and its subsidiaries Merkator<br />

Filling Stations Ltd. (Poltava region) and<br />

Kalyna-Zakarpattia Ltd. (Zakarpattia region),<br />

as well as from Atikava Ltd. (Chernihiv)<br />

and its subsidiaries – Borol and Vek Ltd.<br />

(both from Odesa region).<br />

20 euros more to fill<br />

up your petrol tank<br />

Filling up Portugal's top selling vehicle,<br />

Nissan's ‘economical’ 1.5-litre Qashqai<br />

with diesel costs 90 euros (20 euros more<br />

than a exactly a year ago) as the country's<br />

cash-strapped consumers were forced<br />

to carry yet another financial burden as<br />

petrol prices hit record highs in Portugal.<br />

Portuguese car owners were left wondering<br />

in dismay this week as to how they were<br />

being asked to pay over 1.53 euros for a litre<br />

of petrol and 1.36 euros a litre for diesel<br />

when the price of crude is currently more<br />

than US $ 50 below the highs of 2008. But<br />

as the Competition Authority waves away<br />

suggestions of price-fixing by major fuel<br />

companies in Portugal analysts are warning<br />

more increases should be expected as<br />

oil prices continue to rise while the euro<br />

weakens against the dollar.<br />

UK fuel prices are<br />

changing habits<br />

The price of petrol in the UK is rising at<br />

its fastest rate for 10 years and the record<br />

cost is said to be changing motoring habits.<br />

The UK's motoring association, the AA says.<br />

Research shows fuel prices are leading to<br />

a change in the way people use cars. Their<br />

figures indicate 62 percent of people are<br />

driving less while 5 percent have stopped<br />

driving altogether.<br />

researchers invent ‘artificial petrol’<br />

Researchers are developing a synthetic petrol<br />

that could cost as little as 19 pence per litre.<br />

The future fuel, developed by Cella Energy<br />

in UK, ditches hydrocarbons for the cleaner,<br />

more abundant element hydrogen. It could be a<br />

fabulously efficient source of energy – hydrogen<br />

has a much higher amount of potential energy<br />

than petrol in any given weight. However It's<br />

notoriously difficult to deal with as it has an<br />

unhelpful tendency to explode once it's mixed<br />

with oxygen. Cella says it's found a solution that<br />

will allow motorists to pour a hydrogen-based<br />

fuel directly into a car's standard fuel tank<br />

Petroleum traders doubt quality in Ukraine<br />

Petroleum traders believe that introduction<br />

of import duties on gasoline and diesel fuel<br />

will not result in an improvement in the<br />

quality of the petroleum products that are<br />

produced in Ukraine. It is thought that the<br />

introduction of import duties will raise the<br />

prices of imported petroleum products, thus<br />

facilitating monopolization of the market<br />

and an increase in the volume of the sale of<br />

poor-quality gasoline. “Ukrainian petroleum<br />

Aldi and Lidl should sell discounted petrol!<br />

Discount supermarket chains like Aldi and<br />

Lidl should enter the petrol business to<br />

in crease competition and reduce gasoline<br />

prices for German drivers, Economy Minister<br />

Rainer Brüderle said. Pump prices recently<br />

reached a two-year high at over 1.50 euros<br />

per litre of “super” grade petrol, the minister<br />

encouraged the discounters to challenge<br />

the status quo. “Prices always develop best<br />

through competition”, Brüderle told a newspaper.<br />

“When choice increases, prices sink.” The<br />

minister pointed to discount super markets<br />

in Austria such as Aldi Süd subsidiary Hofer,<br />

which regularly offers deep discounts on fuel.<br />

4 LATEST NEwS, EVENTS, jObS ONLINE – www.PETrOLPLAzA.COM<br />

without risk of a Hindenburg-style meltdown<br />

at the pumps. Cellar Energy says it expects the<br />

hydrogen nanobeads to be compatible with existing<br />

cars without engine modification, reducing fuel<br />

costs and lowering greenhouse-gas emissions.<br />

refineries have never produced and do not<br />

produce gasoline of the Euro-4 and Euro-5<br />

standard. The gasoline that is produced in<br />

Ukraine today leads to a complete contamination<br />

of the environment.“With introduction<br />

of import duties we will be returning to the<br />

Euro-2 standard, even if that can be called<br />

the word Euro”, said Vitalii Antonov, the<br />

President for commercial operations at the<br />

Halnaftohaz concern (Lviv).<br />

TATNEFT filling stations reduce prices in russia<br />

The network of filling stations operating<br />

the brand OAO TATNEFT has reduced the<br />

retail price on average by 6 percent since<br />

16th February. Moreover, in some regions<br />

the reduction has amounted to 13 percent for<br />

certain types of oil. This measure has been<br />

taken due to changes in general market conditions.<br />

It should be noted that the Company's<br />

filling stations network is supplied through<br />

goods purchased on the open market. The<br />

average profitability of the filling stations<br />

network operating under the brand of OAO<br />

TATNEFT is 1.4 percent on average, which<br />

is the minimum rate for the stable operation<br />

of enterprises. Small profit remaining after<br />

payment of taxes is exclusively spent for the<br />

network expansion and modernization of filling<br />

stations. Information Reference. As of 31st<br />

December, 2010 OAO TATNEFT operated<br />

497 filling stations in the composition of the<br />

network in 22 constituents of the Russian<br />

Federation, which employed more than 7 000<br />

persons. In this case, the Company only has a<br />

market share that can be called substantial in<br />

2 of the mentioned constituents: in Tatarstan<br />

(28 percent) and in Chuvashia (40 percent).<br />

The share of OAO TATNEFT in the other<br />

regions does not exceed 7 percent. In January<br />

of this year the domestic market witnessed a<br />

deficit of petroleum products that influenced<br />

the rise in the petroleum products suppliers'<br />

wholesale prices.<br />

Last year a Christmas sale offered gasoline<br />

for just 0.99 euros a litre, some 0.20 euros<br />

less than their competitors. Brüderle also<br />

threatened big multinational fuel sellers with<br />

a state-regulated pricing.


LATEST NEwS, EVENTS, jObS ONLINE – www.PETrOLPLAzA.COM<br />

NEwS – EUrOPE<br />

5


PrODUCT NEwS<br />

6<br />

All text on this page is submitted and written by suppliers. Please email product news to editor@erpecnews.com<br />

LATEST NEwS, EVENTS, jObS ONLINE – www.PETrOLPLAzA.COM


Topaz Energy names Dresser wayne as OPT supplier<br />

The iX Pay Secure Payment solution will<br />

be factory-installed on Dresser Wayne<br />

Global Star fuel dispensers, as well as<br />

retrofitted on installed pumps across the<br />

Topaz network. These terminals feature a<br />

secure card-reader, user-prompt controls<br />

and application-software authentication.<br />

The iX Pay Secure Payment platform is<br />

EMV compliant and was the first device<br />

certified to the latest PCI PTS 3.0, the<br />

highest level of compliance available today.<br />

“Topaz is delighted to build on our relationship<br />

with Dresser Wayne to include the<br />

supply of payment terminals, says Frank<br />

Gleeson, Retail Director, Topaz Energy”.<br />

“We are confident that this intuitive payment<br />

solution will be enhancing our customer's<br />

Topaz scores best work place in Ireland, again<br />

Topaz, Irelands biggest fuels and convenience<br />

retailer has been recognised as one of the Best<br />

Workplaces in Ireland for the fourth year in a<br />

row. This year Topaz secured its highest ever<br />

position, seventh, in a list of the best large<br />

workplaces in Ireland 2011 and also won a<br />

top employee engagement award. Once again<br />

the fully Irish owned and managed company<br />

is the only fuels and convenience retailer to<br />

be recognised as one of the Best Workplaces.<br />

Best Workplaces sets out to recognise the finest<br />

employers and therefore the most satisfied<br />

workforces in Ireland. Frank Gleeson Retail<br />

Director at Topaz said; “We are delighted<br />

to be recognised once again as one of the<br />

Best Workplaces in Ireland. This is a great<br />

achievement for a young Irish company like<br />

Topaz. Maintaining the passion, drive and<br />

commitment shown by all our employees is<br />

the key to our success, making Topaz the<br />

vibrant can do organisation it is.” This year<br />

in addition to recording a highest ever placing<br />

in the Best Workplaces list, Topaz also<br />

experience at Topaz forecourts and that the<br />

security level of the iX Pay solution will help<br />

us in protecting motorists from credit and<br />

debit fraud.” “Dresser Wayne is honored to<br />

extend our relationship with Topaz beyond<br />

fuel pumps and install the latest in payment<br />

technology on forecourts across Ireland,”<br />

says Soren Powell-Holse, Sales Manager<br />

UK & Ireland, Dresser Wayne.<br />

won a special award for encouraging active<br />

collaboration with its staff. The company<br />

recently completed the renovation of a new<br />

concept store at Newland's Cross in West<br />

Dublin where it consulted staff on all aspects<br />

of the design, from uniforms to layout. Great<br />

Place to Work said this project was a perfect<br />

example of how collaboration should work.<br />

Gleeson said employees are working in the<br />

front line every day and have a wealth of<br />

experience to draw on to help improve the<br />

business. “Collaboration leads to engagement,<br />

empowerment, pride in the workplace and to<br />

innovation. It's a win win for our customers,<br />

our staff and the company”, Gleeson concluded.<br />

Topaz is the largest service station<br />

and convenience retailer in Ireland. It is a<br />

fully Irish owned and managed company. It<br />

has over 300 sites throughout the country,<br />

109 of them company owned. Topaz is one of<br />

Ireland's largest privately owned companies<br />

with annual turnover of 2.35 billion euros.<br />

It employs 1 300 people.<br />

Api sign up Gilbarco Veeder-root till 2013<br />

Gilbarco Veeder-Root is pleased to announce<br />

the completion of a three year contract extension<br />

with api, Italy's premier oil operating company.<br />

Under the renewed agreement, Gilbarco Veeder-<br />

Root will provide a full forecourt solution for<br />

Anonima Petroli Italiana SpA (api), which<br />

includes the supply of point of sale, payment<br />

systems, dispensers and tank gauge systems,<br />

until 2013. “The newly stated long term agreement<br />

confirms and reinforces the relationship<br />

and strategic cooperation between api and<br />

Gilbarco Veeder-Root. After the successful<br />

program of the EMV network upgrade, it will<br />

set the foundations for a further technological<br />

development of the network.”, says Claudio<br />

Cocchi, Sales Director, Italy from Gilbarco<br />

Veeder-Root. Gilbarco Veeder-Root is provi -<br />

ding the FlexPay B2B payment terminal, which<br />

is designed to simplify and automate forecourt<br />

payments. The FlexPay B2B will become the<br />

standard specification across api's unmanned<br />

network, with the new IP-Matic brand. The<br />

FlexPay system enables 24 hour, unmanned<br />

operation using the Spot OPT tool. It is able<br />

to support fleet and loyalty programs such as<br />

Carta Maxima fuel cards which are widely<br />

used across IP-enabled sites, throughout Italy.<br />

Gilbarco Veeder-Root is also providing services<br />

for inventory and sales data management,<br />

as well as alarms despatching for IP-Matic<br />

network to optimise logistics, remote service<br />

management and fraud prevention.<br />

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NEwS – EUrOPE<br />

wissol takes all the<br />

awards in Georgia<br />

At a recent awards ceremony, from 18<br />

nomination categories, the Georgian<br />

operator Wissol won in the vast majority<br />

of cases, including being awarded for<br />

operating the largest petroleum station<br />

chain, having 90 stations throughout<br />

the country; For the best infrastructure<br />

of oil and oil products land terminal;<br />

As the biggest employer – employing<br />

more than 2 400 individuals; as well<br />

as being one of the most charitable<br />

companies. Vasil Khorava, General<br />

Director of Wissol Petroleum Georgia,<br />

said, “This awards ceremony shows<br />

the motivation of companies involved<br />

in this sector, so that companies that<br />

manage to maximally payment of taxes<br />

to the budget are recognized and at<br />

the same time healthy competition is<br />

stimulated. It encourages companies<br />

to develop their network, as well as<br />

service them, in the interest of client<br />

welfare”. Wissol also received ‘The<br />

Certificate of Merit' from the World<br />

Customs Organization on the occasion<br />

of the ‘International Customs Day' for<br />

rendering exceptional service to the<br />

international customs community. In<br />

November 2010 Wissol was awarded<br />

the ‘Ruban d'Honneur’ Prize and was<br />

named among the 10 best companies<br />

of a total of 15 000 European brands<br />

at the European Business Awards held<br />

in Paris. Wissol is the only Georgian<br />

company ever to receive this award for<br />

successful business operations. In 2010,<br />

Wissol Group made investments of 40<br />

million Georgian Lari. The biggest<br />

amount was invested in the development<br />

of the Wissol Petroleum service<br />

station network. Wissol is one of the<br />

largest-size business groups in Georgia<br />

incorporating Wissol Petroleum, Wissol<br />

Gas, Air Wissol, Wissol Gas Distribution<br />

Company, construction company<br />

Delta and advertising company Vellagio.<br />

Moreover, in 2010 the company<br />

demonstrated business diversification<br />

by introducing the supermarket chain<br />

Smart. Wissol Gas Distribution Company<br />

has been providing natural gas<br />

since the year 2008, already supplying<br />

11 000 families in the region.<br />

7


NEwS – MIDDLE EAST, AFrICA & ASIA<br />

8<br />

Shell, Vitol and Helios<br />

reach agreement<br />

Shell announced it has agreed to divest<br />

the majority of its shareholding in most<br />

of its downstream businesses in Africa to<br />

Vitol and Helios Investment Partners for<br />

a total consideration of some $ 1 billion.<br />

Under the agreements, Shell will retain<br />

equity in two new joint venture companies,<br />

which will assure continued availability of<br />

Shell fuels and lubricants in 14 African<br />

countries under the Shell brand. “This is<br />

a good deal for our customers as well as for<br />

Shell”, said Mark Williams, Royal Dutch<br />

Shell's Downstream Director. “We will<br />

significantly reduce our capital exposure<br />

in line with our strategy to concentrate our<br />

global downstream footprint, and continue<br />

to provide the high quality Shell products<br />

that our African customers have come to<br />

trust and rely on over many decades.”<br />

Fuel subsidies in jakarta<br />

to be capped<br />

The Jakarta administration has announced<br />

plans to trial a cap on subsidized fuel<br />

purchases, initially introducing the restriction<br />

at five fuel stations in Jakarta in<br />

March. The five fuel stations are located<br />

on Jl. Jatinegara, Jl. Jatinegara Kecil, Jl.<br />

Matraman and Jl. Kramat Raya. Under the<br />

new restriction, the fuel stations will only<br />

provide subsidized fuel for use in public<br />

transportation vehicles with special barcode<br />

stickers. The barcodes will identify<br />

which vehicles are entitled to receive fuel<br />

subsidies once a day, he said. “There will<br />

be 409 vehicles involved in the trial. All<br />

of these are public transportation vehicles<br />

plying the Senen – Kampung Melayu route”,<br />

Jakarta Transportation Agency Chief Udar<br />

Pristono said.<br />

Vietnam to consider<br />

cutting fuel prices<br />

The Finance Ministry said it may cut<br />

petrol retail prices but re-impose import<br />

tariffs in the second quarter if prices fall<br />

on the world market. Otherwise prices<br />

could go up again, noting that even after<br />

the latest increase, local petrol prices are<br />

still lower than those in other countries in<br />

Asia. Recently gasoline and diesel prices<br />

rose by up to 24 percent and although<br />

that was anticipated, many felt surprised<br />

by the extent of the hike. The Finance<br />

Ministry said it had kept prices stable<br />

for a long time in the context of rising<br />

world prices.<br />

Kenya leads the way to greener fuel<br />

In a move that is set to improve air quality and<br />

reduce vehicle emissions across East Africa,<br />

Kenya has officially launched its transition to<br />

low-sulphur diesel. Containing only 5 percent<br />

Tanzania drive against adulterated fuel<br />

The government has launched three mobile<br />

laboratories, as part of efforts to curb rising<br />

cases of fuel adulteration and dumping. Haruna<br />

Masebu, the Director General of the Energy<br />

and Water Utilities Regulatory Authority said<br />

the labs set up at a cost of over Tsh 2 billion<br />

($ 1.3 million), will boost the ongoing fuel mar -<br />

king efforts which begun in September last<br />

More fuel increases on the way in Sri Lanka<br />

The Lanka Indian Oil Company (LIOC) is<br />

now expected to hike its fuel prices further<br />

on top of the 5 rupee increase on a litre of<br />

diesel after the authorities here had ignored its<br />

repeated requests for price revisions. Managing<br />

Director of LIOC Suresh Kumar said with the<br />

last consignment of fuel they had imported in<br />

January they were losing as much as 20 rupee<br />

LATEST NEwS, EVENTS, jObS ONLINE – www.PETrOLPLAzA.COM<br />

of the amount of sulphur present in Kenya's<br />

previous diesel supply, the cleaner fuel is<br />

already available in limited stations and will<br />

soon be present in pumps across the country.<br />

This new milestone for cleaner fuel in East<br />

Africa is part of a global initiative by the ‘Partnership<br />

for Clean Fuels and Vehicles (PCFV)’<br />

to promote cleaner and more efficient fuels<br />

and vehicles in developing countries. The<br />

Partnership is coordinated by the UN Environment<br />

Programme (UNEP) and is supported<br />

by the United States, Holland, Canada and<br />

other partners.<br />

year. “Test results on fuel samples taken will<br />

now be obtained in three minutes”, said Mr<br />

Masebu. Previously, the service stations in<br />

question continued dispensing substandard<br />

products while samples were taken to the laboratory<br />

for testing. Three months after the ven -<br />

ture begun, cases of adulteration went down<br />

by about 80 percent, officials said.<br />

on a litre of diesel and the increase was only a<br />

token one. Petroleum Ministry Secretary Titus<br />

Jayawardena said he would not take any action<br />

against LIOC as it was their right to make appropriate<br />

price revisions. LIOC with about 150<br />

filling stations in Sri Lanka supplies between<br />

20 to 25 percent of the diesel and about 25<br />

percent of the petrol demand in the country.<br />

Petron to spend 1 billion pesos a year till 2016<br />

Petron Corp., the country's largest oil refiner<br />

and retailer, is spending about 1 billion<br />

Philipino Pesos a year until 2016 to widen its<br />

market reach and maintain its leadership in<br />

the oil industry. At present, Petron has some<br />

1 500 retail stations nationwide, up from<br />

around 1 300 stations last year. “To protect<br />

its leadership in the domestic oil industry,<br />

Improvements on Saudi highway service stations<br />

The Council of Saudi Chambers has set up<br />

the first specialized national committee for<br />

companies of fuel stations and service centres<br />

on highways, in a bid to upgrade the poor<br />

services offered to local and international<br />

travellers. The formation of the new committee<br />

coincides with the decision taken by the<br />

council's board of directors which stressed<br />

the importance of creating a national committee.<br />

This came at the request of owners<br />

of the fuel stations. The decision also reflects<br />

the council's determination to upgrade the<br />

standards of various business sectors in the<br />

the company is continuing its service station<br />

network expansion”, Petron told the Philippine<br />

Stock Exchange. To achieve the goal of<br />

a faster net work expansion, Petron said it will<br />

continue to establish “micro-filling stations”.<br />

Last year, Petron said it is planning to put<br />

up 5 000 micro-filling stations as part of its<br />

aggressive marketing strategy.<br />

Kingdom. The new committee means there are<br />

now 33 sectorial and subsidiary committees<br />

covering most economic activities in the<br />

country. These committees serve as umbrella<br />

bodies for 600 of the leading businessmen in<br />

the Kingdom.


Ecology friendly filling station opened in Dubai<br />

Last month officials at the Emirates National<br />

Oil Company (ENOC) showcased its new<br />

green petrol station – with environmental<br />

upgrades worth about 3.6 million dirham – to<br />

reduce the company's impact on the environment.<br />

The new station is fitted with noise<br />

reduction barriers and a system that collects<br />

the harmful vapours released from fuels, as<br />

well as solar lights, water recycling and other<br />

TOTAL Kenya and DHL sign 3 year contract<br />

Mr. Alexis Vovk, the Managing Director of<br />

TOTAL Kenya Limited and Mr. Ben Clay,<br />

the Operations Director of DHL Supply<br />

Chain, Central Africa, signed a three year<br />

Petrol and pie sales going well, down under<br />

Refuelling at service stations increasingly<br />

involves filling up more than cars if the latest<br />

statistics from Greenstone Energy are anything<br />

to go by. A million chilled drinks, 170 000<br />

pies and 160 000 ice creams were sold at the<br />

company's 229 retail service stations in the<br />

three weeks from 20th December. Greenstone<br />

bought Shell New Zealand's petrol stations<br />

and other downstream assets last year. The<br />

Engen buys Chevron's Mauritius operations<br />

South African petroleum company Engen is<br />

looking to expand in Mauritius after it concluded<br />

an agreement to buy Chevron's business<br />

in the Indian Ocean island. Chevron's<br />

Mauritius operations include a network of<br />

28 retail service stations, aviation fuelling<br />

facilities and lubricant sales. Jan Theys, Engen's<br />

board chairman, said there was scope<br />

for more petrol stations along new roads being<br />

New retailer in Ceylon to market disused sites<br />

Plans are being discussed to form a new<br />

company to manage 107 currently disused<br />

fuel stations countrywide, bringing a third<br />

player into the petroleum market, at least<br />

seven years after a similar failed effort, a<br />

senior Ceylon Petroleum Corporation official<br />

said. He said these fuel stations which<br />

were currently languishing without proper<br />

supervision and financial assistance would be<br />

handed over to the new company for which<br />

green features. While it cost about 18 million<br />

dirham to build a traditional station of this<br />

size the clean technology investment comes<br />

with a 20 percent increase in cost. And it took<br />

a year to source the technologies and implement<br />

them on site. Enoc are already testing<br />

different initiatives in different stations, but<br />

this is the first time they have integrated all<br />

these technologies in one location.<br />

contract covering diesel, petrol, lubricants<br />

and LPG (gas) at a ceremony held in the<br />

DHL Supply Chain Regional Office at the<br />

Nairobi Business Park, Ngong Road. The<br />

contract also enables DHL Supply Chain<br />

personnel to use the TOTAL Bon Voyage card<br />

for purchasing petroleum products from the<br />

network of more than 160 TOTAL service<br />

stations which are widely spread throughout<br />

Kenya. The card system eliminates cash payments<br />

and helps DHL Supply Chain with<br />

tracking vehicle movements and general<br />

fleet management.<br />

new owners have been pushing the message<br />

that the business is New Zealand owned and<br />

marketed. The company said it increased fuel<br />

sales by 4 percent in a market which declined<br />

by more than 1 percent in the first six months<br />

after the business became New Zealand owned.<br />

A spokesman said sales of convenience foods<br />

in the three weeks from 20th December were<br />

up significantly on last year.<br />

built on the island. “We are going to look at<br />

opportunities to expand our network on the<br />

island”. Majority owned by Malaysia's national<br />

oil company Petronas, Engen's purchase of<br />

Chevron's interest will hand it a 22 percent<br />

market share. It aims to raise that to 30 percent.<br />

Engen is on an expansion drive in Africa<br />

after acquiring Chevron Corp's downstream<br />

operations in some African countries.<br />

bids would be called. Before the privatisation<br />

deal with the Lanka IOC (LIOC) in 2003,<br />

the CPC had 300 retail Ceypetco outlets<br />

which was about half the market share<br />

while some 600 private dealers had the rest.<br />

Of its 300 retail outlets, 100 were given to<br />

IOC while another 107 were earmarked for<br />

a third player. The CPC will eventually be<br />

left with just 100 fuel stations or a mere<br />

17 percent market share.<br />

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NEwS – MIDDLE EAST, AFrICA & ASIA<br />

Essar may rethink<br />

diesel sales strategy<br />

Subsidised diesel sales by state firms have<br />

forced Essar Oil to review plans to expand its<br />

retail network and encouraged its dealers to<br />

offer compressed natural gas, set up ATMs,<br />

and sell chocolates, tyres and lubricants<br />

at petrol pumps to remain profitable. The<br />

company recorded the highest-ever petrol<br />

sales in the last quarter as the govern -<br />

ment's decision to decontrol the fuel last<br />

June boosted sales by 16 percent last quarter.<br />

But further growth in the state-dominant<br />

sector remains uncertain. The company<br />

has about 1 400 petrol pumps, and the<br />

number would rise to 1 700 in March but<br />

further growth to 3 000 outlets is uncertain.<br />

However the pace of further expansion<br />

will depend on de-regulation of diesel<br />

fuel price.<br />

zimbabwe targets un-<br />

licensed oil companies<br />

The Ministry of Energy and Power Develop<br />

ment has said it will soon crack down<br />

on oil companies and wholesalers that<br />

continue to operate without licences. The<br />

deadline for registration of oil companies<br />

and wholesalers was February 1 when fuel<br />

retailers were expected to have submitted<br />

a list of their retail sites. Energy and Power<br />

Development minister Elton Mangoma said<br />

“Those companies that failed to register have<br />

automatically de-registered them selves”.<br />

An importer's licence is $ 20 000 while<br />

that of wholesalers is $ 8 000. Retailers in<br />

urban areas are being charged $ 500 while<br />

those operating in rural areas are required<br />

to pay $ 200. Mangoma said, “officials from<br />

the ministry would soon conduct an outlet<br />

tracking exercise to check on compliance<br />

and companies that are not registered shall<br />

not be allowed to continue”.<br />

9


NEwS – MIDDLE EAST, AFrICA & ASIA<br />

10 new filling stations<br />

for Oman Oil in 2010<br />

Augmenting its national outreach to all<br />

regions of the Sultanate, Oman Oil Marketing<br />

Company (Oman Oil) announced that<br />

the Company inaugurated ten new filling<br />

stations in a number of prime locations<br />

across the nation during 2010 bringing<br />

it's total number to 122. With the establishment<br />

of six Ahlain convenience stores<br />

to date, the ten new strategically located<br />

multi-facility filling stations will serve an<br />

extensive number of motorists throughout<br />

Oman. More filling stations are planned<br />

during 2011.<br />

Pumangol to take<br />

services countrywide<br />

in Angola<br />

In Angola the Pumangol petrol station<br />

network will extend its services to the<br />

provinces of Cabinda, Cunene, Zaire,<br />

Malanje and Uije. This investment will<br />

enable Pumangol to increase the number of<br />

stations to 37, in only two years of activities<br />

in the national market. Pumangol has 15<br />

petrol stations, eleven of which are located<br />

in the surroundings of Luanda and the<br />

other ones in Benguela, Huila, Huambo<br />

and Kwanza-Sul provinces.<br />

ExxonMobil to open<br />

12 new stations this<br />

year in Malaysia<br />

ExxonMobil is planning to add another<br />

10 – 12 petrol stations this year to the<br />

current 560 outlets. “Last year, we opened<br />

10 stations. For 2011, our target is about<br />

10 to 12 stations”, ESSO Malaysia Bhd's<br />

head of the retail business sector, Faridah<br />

Ali, told reporters this at the launch of<br />

ExxonMobils's new Dual Fleet Card.<br />

Deregulated regime causes price differentiation<br />

The Ghana Oil Company Limited (GOIL)<br />

last Friday discredited the perception that a<br />

fully deregulated petroleum sector will lead to<br />

price hikes and manipulation by the oil marketing<br />

companies. “A deregulated regime on<br />

the contrary will generate competition among<br />

operators especially on attracting and retaining<br />

customers, a development which will draw out<br />

Kobil acquires Phoenix Uganda Petroleum assets<br />

Following its expansion plans, KenolKobil<br />

Limi ted has acquired all assets of Phoenix<br />

Uganda Petroleum Limited. The assets consist<br />

of a 1 800 m 3 (1.8 million litres) fuel terminal,<br />

a modern three-storey office block and three<br />

service stations in Kampala. The company's<br />

Chairman/Group Managing Director, Mr<br />

Jacob Segman, said: “We will keep expanding<br />

our business presence in Uganda and<br />

bangchak in Thailand plans to overtake ESSO<br />

and become the markets second largest retailer<br />

Bangchak Petroleum has set its sights on<br />

becoming the second-largest player in the<br />

retail oil business by passing ESSO (Thailand)<br />

within three years. The company's major share-<br />

Swaziland fuel retailers lacking good service<br />

Swaziland has gained a thumbs-up on the<br />

supply of fuel in southern Africa where the<br />

price of fuel is considerably less than in South<br />

Africa, Zambia, Zimbabwe and Botswana.<br />

Galp, Engen and TOTAL filling stations are<br />

the most prominent in the country, but it is<br />

evident that they have a tough time in meeting<br />

demand. However it appears customer service<br />

is not at the top of their priorities as despite<br />

competition amongst them it is reported<br />

you will find unmanned forecourts, surly &<br />

10<br />

LATEST NEwS, ALTErNATIVE EVENTS, FUEL jObS NEwS ONLINE – www.PETrOLPLAzA.COM<br />

– www.PETrOLPLAzA.COM<br />

price differentiation at the filling stations”, Mr<br />

Yaw Agyemang-Duah, Managing Director of<br />

GOIL said. “The customer stands to benefit<br />

greatly in a price differentiation environment,<br />

prices of petroleum product will differ from<br />

company to company, and in addition some<br />

companies may introduce filling station to filling<br />

station price differentiation based on location”.<br />

the East, Central and South African regions<br />

through acquisitions of similar high potential<br />

assets in both existing and new markets. This<br />

move confirms KenolKobil's position as one<br />

of the leading investors in the petroleum indus -<br />

try in East Africa.” Kobil Uganda, established<br />

in 1999, was KenolKobil's first subsidiary out -<br />

side of Kenya and has made substantial investments<br />

represented by its over 63 service stations.<br />

holder, PTT, is the market leader. Bangchak<br />

Petroleum already claims the third place,<br />

replacing Shell last year. Bangchak's petrol<br />

stations sold 2.4 billion litres during the first<br />

11 months of last year, good for 13.8 percent<br />

of the market. Based on estimated sales for<br />

the whole year, its share is expected to end<br />

up at 13.8 – 14 percent. Since the gap with<br />

ESSO, which has 17.2 percent of the market,<br />

is small, the company believes it can overtake<br />

its rival within three years. Bangchak operates<br />

a total of 1090 stations.<br />

Over 600 petrol stations ready for fuel restrictions<br />

As many as 610 petrol stations of the 720<br />

operating in Greater Jakarta claim they are<br />

ready to comply with subsidized fuel restrictions,<br />

which are scheduled to begin in April.<br />

Under the restriction policy, the government<br />

will only allow motorcycles, & public transportation<br />

vehicles to acquire subsidized fuel.<br />

The 610 stations are ready to supply the con-<br />

sumers with Pertamax, the company's brand<br />

of non-subsidized fuel, and 41 other stations<br />

are to be given new investments to prepare<br />

them to market the fuel. Downstream oil<br />

and gas regulator BPH Migas head Tubagus<br />

Haryono said earlier that the petrol terminal<br />

for Greater Jakarta had reached 75 percent and<br />

was targeted to reach 100 percent this month.<br />

clueless staff who sometimes even refuse to<br />

acknowledge a customer. Poor service has<br />

become the norm with motorists developing<br />

a preference not because of price but based<br />

on good service.


11<br />

Hotel Rey Juan Carlos,<br />

10 th – 12 th May 2011, Barcelona, Spain<br />

A business forum for oil companies and major petroleum<br />

retailers, focusing on equipment, services and<br />

retail opportunities for sites and shops.<br />

Book your place by visiting our website www.erpec.com<br />

or call +49 7721 98 300.<br />

LATEST NEwS, EVENTS, jObS ONLINE – www.PETrOLPLAzA.COM 11


PrODUCT NEwS<br />

News from South America<br />

Pan American to buy<br />

Exxon assets<br />

Pan American Energy has agreed to buy<br />

an oil refinery and nearly 450 service<br />

stations from Esso, the Argentine unit of<br />

Exxon Mobil Corp an Argentine newspaper<br />

reported. The deal is valued at between<br />

US $ 800 million and US $ 850 million,<br />

according to unnamed executives linked to<br />

the negotiations between the two companies.<br />

Pan American is owned by Bridas Corp,<br />

which is co-owned by China's CNOOC and<br />

Argentina's Bulgheroni family. Argentina's<br />

government would have to give the green<br />

light for the purchase to go forward.<br />

News from Asia<br />

byco to buy Admore<br />

Byco Petroleum is in talks to buy Admore<br />

Gas in a bid to boost profits and become<br />

the fourth largest oil marketing company<br />

(OMC) of the country. Negotiations are<br />

still on-going. Rumours of a possible<br />

takeover of Admore have been circulating<br />

since November last year. Admore has<br />

not issued any statement on the matter.<br />

The takeover will make Byco the fourth<br />

largest OMC in the country in terms of<br />

reach with a combined strength of nearly<br />

600 filling stations. Admore has over 400<br />

filling stations, most of them in the north.<br />

Byco has 180. Byco is also in talks with<br />

Pakistan State Oil (PSO) to use latter’s<br />

84 kilometres pipeline for pumping petroleum<br />

products from the refinery to<br />

Zulfiqarabad Oil Terminal (ZOT).<br />

Product news<br />

Dresser wayne to<br />

supply Topaz Energy<br />

Dresser Wayne, has been named supplier of<br />

outdoor payment solution to Topaz Energy<br />

Limited, one of Ireland’s leading energy and<br />

forecourt retailers. Dresser Wayne’s iX Pay<br />

Secure Payment solution will be installed<br />

in dispensers across its service stations and<br />

unmanned fueling sites in Ireland starting<br />

this year. The iX Pay Secure Payment<br />

solution will be factory-installed on Dresser<br />

Wayne Global Star fuel dispensers, as well<br />

as retrofitted on installed pumps across the<br />

Topaz network. These terminals feature a<br />

secure card-reader, user-prompt controls<br />

and application-software authentication.<br />

The iX Pay Secure Payment platform is<br />

EMV compliant and was the first device<br />

certified to the latest PCI PTS 3.0, the<br />

highest level of compliance available today.<br />

www.dresserwayne.com<br />

All text on this page is submitted and written by suppliers. Please email product news to editor@erpecnews.com<br />

Tokheim announces certification of Crypto VGA<br />

Tokheim has announced that the leading<br />

security standards council, PCI, has certified<br />

the Crypto VGA to its new, highest<br />

level. Tokheim's innovative outdoor payment<br />

solution, the Crypto VGA, is now PCI PTS<br />

POI v3.0 compliant. The latest development<br />

FAFNIr's VISY-Density Module fully certified<br />

FAFNIR is proud to announce that the accuracy<br />

of their advanced VISY-Density Module, to be<br />

integrated into their VISY-X ATG System, has<br />

been ZMK certified and the product will be<br />

released to the market with immediate effect.<br />

The VISY-Density Module has been certified<br />

to a very high degree of accuracy (better than<br />

1 g/litre) and besides fuel quality monitoring<br />

it can even determine water concentration in<br />

OPw FIT500 fuel control system<br />

To help get their CleanDrive program operational,<br />

US based Propel Fuels turned to OPW<br />

Fuel Management Systems and its FIT500<br />

Fuel Control System. The FIT500, which<br />

is equipped with OPW's FSC3000 Fuel<br />

Site Controller, is a PCI-compliant, selfcontained<br />

fuel-island terminal that includes a<br />

dual-head card reader and customizable color<br />

12 LATEST NEwS, EVENTS, jObS ONLINE – www.PETrOLPLAzA.COM<br />

ensures that Tokheim's Crypto VGA terminals<br />

and their related software are approved until<br />

2020. The new PCI certification strengthens<br />

existing requirements to increase security. It<br />

covers attended and unattended POS PIN<br />

Entry Devices alongside Encrypting PIN Pad<br />

requirements (EPP). Kurt Dillen, Tokheim<br />

General Manager Systems & Electronics<br />

Business Unit, says, “We are strongly committed<br />

to future proofing our systems and this<br />

is clearly demonstrated through our security<br />

compliance until 2020. The wide range of<br />

applications available through Crypto VGA<br />

ensures that the product is not only seen as<br />

revolutionary today, but over the next decade”.<br />

Galp choose KSS Fuels for price management<br />

Galp Energia, with the largest network of fuel<br />

service stations in Portugal and one of the<br />

largest in the Iberian Peninsula, has selected<br />

KSS Fuels products to provide day-to-day fuel<br />

price management and optimisation to 300 of<br />

its retail fuel locations in Spain. Galp Energia<br />

will use KSS Fuels PriceNet and PriceNet<br />

Web products for a fully integrated fuel price<br />

mana gement offering. “Galp Energia has<br />

merged three retail networks into one over<br />

the last two years, and we needed a common<br />

pricing mana gement system”, said David Alvaro,<br />

Retail Fuel Pricing Manager, Galp Energia<br />

Spain. “We have used KSS Fuels PriceNet<br />

product in our Portugal sites and recognised<br />

its capabilities. We saw the opportunity to<br />

standardise our business processes, improve<br />

market and competitor intelligence.”<br />

E85 or E100 fuels and will detect separation<br />

layers in Ethanol blends. In order to save<br />

installation costs the Density Module can be<br />

added to the ATG Probe VISY-Stick Advanced<br />

and will easily fit into an opening of 2 inch<br />

or larger. The VISY-Command System will<br />

inform about the current Density and will<br />

manage and communicate the respective<br />

Alarms in case of non-compliance.<br />

screens that is integrated with a TCP/IP communication<br />

port to guarantee a high-speed<br />

connection to the network. The FIT500 is<br />

integral to the CleanDrive program because<br />

it works at the point-of-sale of unmanned<br />

fueling sites so that drivers can instantly<br />

link their Propel fuel purchases to their<br />

CleanDrive account.<br />

Logica & Fleetcor strike deal with Shell<br />

Logica, a leading business and technology<br />

service company, partnering with FleetCor<br />

Technologies Inc., a leading independent global<br />

provider of specialised payment products and<br />

services, have announced that they have won a<br />

10-year, 300 million euros contract to support<br />

Shell’s Commercial Fleet fuel cards programme<br />

in Europe and Asia. Business-to-business fuel<br />

cards offer firms that operate fleets of com-<br />

mercial vehicles a convenient, cost-effective<br />

and secure way to pay and account for fuel<br />

and other on-road services. FleetCor’s Global<br />

FleetNet (GFN) card processing platform will<br />

be used to develop Shell’s customer offering.<br />

Logica will run Shell’s existing system and<br />

replace it with a new system built around<br />

GFN. The first pilot is due to be completed<br />

by April 2012.


All text on this page is submitted and written by suppliers. Please email product news to editor@erpecnews.com<br />

New UK & Ireland Managing Director for GVr<br />

Gilbarco Veeder-Root is pleased to announce<br />

the promotion of Dave Coombe to UK & Ireland<br />

Managing Director. As GVR continues<br />

to build and encourage profitable growth<br />

and deliver world class services for our<br />

customers the company policy of nurturing<br />

home grown talent has seen Dave go from<br />

strength to strength within the key roles he<br />

has occupied. Producing outstanding results<br />

in each UK focused role, driving operational<br />

PSD carwash monitoring system for UK's ASDA<br />

New technology developed by PSD Codax to<br />

monitor the operation of jet-wash equipment<br />

is being launched at Asda stores in the UK,<br />

following a deal with Kärcher Vehicle Wash, a<br />

business division of Kärcher UK. The Codax<br />

Forecourt Monitor alerts Kärcher maintenance<br />

staff instantly if there are problems with<br />

carwash equipment – or unusual periods of<br />

inactivity – so that issues can be remedied<br />

quickly and revenues restored. The system<br />

New September dates for Automechanika 2012<br />

In agreement with the IAA Commercial Vehicles<br />

Show, organised by the German Association of<br />

the Automotive Industry, Messe Frankfurt has<br />

decided to bring forward the coming Auto-<br />

and process improvements as well as leading<br />

the successful integration of the Autotank<br />

acquisition during 2008, accomplishments<br />

like this have been the push for promotion<br />

to UK & Ireland Managing Director. “I am<br />

excited to be leading the UK business into<br />

next year and beyond as we introduce new<br />

products and services to the market. We have<br />

many options, both products and services, to<br />

contribute”, says Dave Coombe.<br />

web-based tool tracks fuel stations and prices<br />

Oil Price Information Services now offers a new<br />

web-based query tool for retail fuel prices. Retail<br />

fuel prices are regularly compared with OPIS<br />

rack prices allowing this new state-of-the-art<br />

way to obtain information to display estimated<br />

profit margins at gas stations all across America.<br />

This new tool is going to allow it's users to obtain<br />

data from as far back as January 2007. It can<br />

show you data that represents over 290 brands<br />

in over 38 000 different geographic regions in<br />

the U.S. Users can find station data, prices, and<br />

margins by searching zip code, town, county,<br />

state, metropolitan area, or even on a national<br />

level. This new tool is self- serve and web-based.<br />

monitors maintenance and usage, including<br />

cash takings, machine faults, shampoo and wax<br />

levels – and even sudden temperature drops.<br />

Maintenance staff can be alerted by text or<br />

email while managers in head office monitor<br />

performance data through a secure web portal.<br />

Graham Round, Managing Director of PSD<br />

Codax, said: “We are delighted to be working<br />

closely with Kärcher UK to launch this<br />

exciting new system nationwide”.<br />

mechanika Frankfurt 2012 by one week thus<br />

avoiding an overlap between the events. This<br />

means the trade fair will now take place in<br />

Frankfurt am Main from 11 to 16 September 2012.<br />

LATEST NEwS, EVENTS, jObS ONLINE – www.PETrOLPLAzA.COM<br />

PrODUCT NEwS<br />

Franklin introduces<br />

new piping systems<br />

Franklin Fueling Systems has announced<br />

the introduction of its new natural, clear<br />

EVOH resin lined UPP EN14125 Standard<br />

Pipe. This latest revolution in fuel piping<br />

features a clear inner lining made of<br />

natural and un-pigmented EVOH resin;<br />

a feature which allowed UPP EN14125<br />

Standard Pipe to achieve a unique Class<br />

T1 EN temperature rating. The Class T1<br />

rating, rates the pipe for use in temperatures<br />

ranging from -40 °C to 50 °C. The<br />

latest in co-extrusion technology allows a<br />

permanent bond between the EVOH resin<br />

fuel contact layer and the rugged PE100<br />

high-density polyethylene outer structural<br />

layer, providing a new level of protection,<br />

performance and dependability.<br />

Scheidt & bachmann<br />

contract with Shell<br />

Scheidt & Bachmann GmbH are proud<br />

to announce the award of a contract from<br />

Shell International Petroleum Company<br />

Limited to provide Site Systems, Hardware<br />

and Software, as well as full Service for<br />

their German Site Systems Programme.<br />

Within the scope of this contract Scheidt &<br />

Bachmann will upgrade the German site<br />

system software to TMS 30 and deploy<br />

BOS and POS systems throughout the<br />

German Shell network during during 2011<br />

and 2012. Moreover, Scheidt & Bachmann<br />

will provide full service including installation,<br />

maintenance and hotline support<br />

for 5 years ensuring Scheidt & Bachmann<br />

continue their long term business relation<br />

with Shell. S&B's Managing Director, Martin<br />

Kammler said, “Our business relationship<br />

with Shell dates back to 1932 and we look<br />

forward to continuing and expanding this”.<br />

13


FEATUrE – TV MArKETING<br />

Are you in the television business?<br />

xxxx<br />

As the arrival of TV on service station<br />

forecourts starts to take hold of the<br />

European market, like many things before<br />

it, a quick look to the USA, having<br />

had TV at the pump readily available<br />

since 2005, should provide an instant<br />

glimpse at what we can expect to happen<br />

on this side of the Atlantic. Nielsen<br />

Media research recently conducted an<br />

in depth survey into motorists buying<br />

habits, awareness and their response to<br />

advertising on the forecourt in the US,<br />

which is why this month we have chosen<br />

to review the following article written, by<br />

Laura Glass and Mark ward from NPN<br />

International. with lots of comment from<br />

Gilbarco, Dresser wayne and a variety<br />

of retailers, this article is a must read<br />

for anyone contemplating a move into<br />

the television business, because that is<br />

exactly what it will be. Make your own<br />

programmes, tell your customers about<br />

your special offers or simply promote your<br />

company with a corporate video. The fact<br />

is you have your own ready-made audience,<br />

so why not make the most of it?<br />

Most consumers patronize gas stations to<br />

fill up their tanks. But petroleum retailers<br />

know their highest margins are generated by<br />

inside sales and such onsite profit centers as<br />

car washes. Pump toppers are proven means<br />

for advertising convenience store products<br />

and ancillary services. But in addition, TV<br />

programming on in-pump colour monitors<br />

not only engages customers, but can yield<br />

measurable results. “Nielsen research proves<br />

that providing this for the consumer lifts cstore<br />

sales”, said CEO David Leider of Gas<br />

Station TV (GSTV) in Birmingham, Michigan.<br />

The Nielsen audit found GSTV reaches 27<br />

million viewers per month in more than 100<br />

markets, including 24 of the top 25. Another<br />

network, Outcast of Santa Monica, California.,<br />

is seen by 23 million monthly viewers<br />

over more than 12 000 screens nationwide.<br />

And two years ago Outcast joined forces<br />

with PumpTop TV of Irvine, California, a<br />

network that reaches 20 million viewers on<br />

10 000 screens in major markets from coast<br />

to coast. National advertisers also endorse<br />

video marketing. Those on PumpTop TV, for<br />

14 LATEST NEwS, EVENTS, jObS ONLINE – www.PETrOLPLAzA.COM<br />

By Nick Needs<br />

For this article, we were very fortunate to have recent pictures taken at an exhibition of a Tokheim exhibition stand, showing Adrian Beeby, UK National Sales Manager, demonstrating the<br />

media head on Tokheim's latest dispenser, the TQC-VGA.<br />

example, have included American Express,<br />

Bank of America, Chevrolet, Pontiac, Saturn,<br />

Mobil 1, Delta, Best Buy, CVS Pharmacy,<br />

Carl's Jr., Jack in the Box, Subway, Dunkin<br />

Donuts, Gatorade, Red Bull, Verizon, and<br />

Sony Pictures. PepsiCo Inc. recently named<br />

Gas Station TV the winner of its Best Retail<br />

Marketing Campaign of the Year for<br />

2010. “If you can drive a relevant message<br />

in a relative space, then it brings value to<br />

the consumer”, said Tricia Nichols, Media<br />

Portfolio Projects Lead at PepsiCo Inc. and<br />

Group Media Director at the TracyLocke<br />

marketing agency. “We can help consumers<br />

understand where our products fit into their<br />

lives, which leads to a compelling reason to<br />

purchase our products.”<br />

Dispenser manufacturers are also on board<br />

with in-pump video options. Mark Williams,<br />

marketing manager of dispenser applications<br />

at Gilbarco Veeder-Root, said they<br />

recently partnered with Outcast to create<br />

interactive merchandising at the pump for<br />

its Applause Media System. Launched last<br />

autumn, Applause TV combines advertising,


In store offers or corporate videos can be displayed extremely effectively whilst customers<br />

are refueling their vehicle.<br />

news, and entertainment with on-demand<br />

coupon printing. “For an average retailer”,<br />

said Williams, “only a third of customers<br />

go into the store. But today, you're fighting<br />

more than just the c-store down the street.<br />

The same products you sell may be offered<br />

at multiple competitors. So there's a need for<br />

engaging point-of-sale marketing that gets<br />

the customer inside your store.” The same<br />

need is recognized by dispenser manufacturer<br />

Dresser Wayne. “More than half of fuel<br />

customers never leave the forecourt to shop<br />

inside the store”, said D.P. Rabalais, Global<br />

Marketing Communications Manager. The<br />

company's iXT Media digital merchandising<br />

system, he added, “increases sales and<br />

builds brand loyalty by harnessing the power<br />

of multimedia marketing at the dispenser.”<br />

Proof in Numbers<br />

To measure the value of television monitors<br />

at the pump for both retailer and advertiser,<br />

Gas Station TV was independently audited by<br />

Nielsen Media Research. According to Leider,<br />

93 percent of consumers surveyed preferred<br />

gas stations with GSTV, some 83 percent<br />

“thought it was a good thing for retailers to<br />

provide”, and stations with GSTV “had sales<br />

lifts of up to 78 percent.” Similarly, Outcast<br />

and PumpTop TV reports research that indicates<br />

more than 90 percent of fuel customers<br />

notice their screens, more than 70 percent<br />

considered at-the-pump advertising a good<br />

source of product information, and 75 percent<br />

could recall at least one advertisement. Outcast<br />

notes that customers are a captive audience,<br />

with no DVR to skip over ads, so that viewers<br />

spend an average 35 percent more on days they<br />

fuel their cars. Eighty-seven percent of those<br />

surveyed said they found the programming<br />

to be entertaining and plan to watch again<br />

on their next fueling visit.<br />

The Nielsen study conducted from 2006<br />

to 2008 for GSTV found that windshield<br />

washer fluid advertised on-screen had a<br />

sales lift of 42 percent and sweets lifted<br />

69 percent. Compared to c-stores without<br />

the pump video service, car washes saw a<br />

78 percent sales, bottled water 60 percent,<br />

energy drinks 53 percent, and candy bars<br />

15 percent. Similarly, research by PumpTop<br />

TV indicated that products featured on<br />

videos enjoyed an average sales lift of 13<br />

to 42 percent per month.<br />

The concept behind the content is simple<br />

– each TV segment is followed by a<br />

promotion. Outcast partners include CBS,<br />

CNET, HGTV, BBC, DIY Network, and TV<br />

Land. On PumpTop TV viewers can watch<br />

the NBA and MLB networks, FX, DIY,<br />

truTV, Better.TV, and other programmers.<br />

Gas Station TV offers custom-produced,<br />

exclusive, and constantly updated ESPN<br />

sports, NBCU news and entertainment,<br />

and market-specific AccuWeather forecasts.<br />

“The key is that everyone loves television”,<br />

Leider said. “Compared to static advertising,<br />

TV's blend of full sight, sound, and motion<br />

makes for greater impact and awareness.<br />

Specific promotional schedules are tailored<br />

to each retailer. After the retailer and<br />

GSTV agree on the amount of advertising<br />

to be run for the year, he explained, “then<br />

we create monthly promotional calendars,<br />

as well as help create and design what the<br />

announcements will look like. Tying in our<br />

national advertisers also drives people into<br />

the c-store.”<br />

Promotions can be also be used not only to<br />

push products but also to build a retailer's<br />

brand. “Some clients have been very suc-<br />

LATEST NEwS, EVENTS, jObS ONLINE – www.PETrOLPLAzA.COM<br />

FEATUrE – TV MArKETING<br />

Once the nozzle has been replaced into its holster, the fuelling cost and instructions on<br />

how to pay are clearly displayed.<br />

cessful at this”, said Leider. “They might<br />

point out their cleanliness or outstanding<br />

service, or a charitable event in which they're<br />

participating.”<br />

Leider acknowledged that some fuel retailers<br />

may be skeptical. “With past systems<br />

that tried to transmit video content”, he<br />

said, “some providers weren't able to deliver.<br />

Screens went dark after the networks failed.”<br />

Today, however, the in-pump video market<br />

has consolidated into three major players –<br />

Gas Station TV, Outcast, and PumpTop TV.<br />

Installation time for GSTVs at a typical site<br />

is less than three hours. And since the technology<br />

is IT-based, programs are immediately<br />

up and running. “We maintain and monitor<br />

all televisions from our headquarters”, Leider<br />

said. “If a problem occurs, 95 percent of the<br />

work can be done remotely.”<br />

win-win Proposition<br />

National advertisers, suggested Tracy-<br />

Locke's Tricia Nichols, can benefit from<br />

sponsoring promotions that increase brand<br />

sales – without taking money from retailers'<br />

pockets. In 2010, for example, PepsiCo<br />

brands including Pepsi, AMP Energy drink,<br />

AMP Energy Juice, and Lipton Brisk were<br />

promoted to viewers via GSTV “just steps<br />

away from the products available inside the<br />

convenience store”, she said. By the same<br />

token, the PepsiCo ad campaign generated<br />

a 213 percent increase in awareness of end<br />

the AMP Energy brand, 277 percent rise in<br />

purchase intent, and 150 percent increase<br />

in individuals willing the drink to friends<br />

and family.<br />

Marketing success hinges on crafting messages<br />

that target a specific audience or<br />

15


FEATUrE – TV MArKETING<br />

region, so that PepsiCo's ability to target<br />

gas station customers played a key role in<br />

its AMP Energy campaign. “The needs of<br />

these customers are different than those for<br />

people who are hearing an ad on the radio,<br />

watching an ad on TV at home, or seeing an<br />

ad via online media”, said Nichols. “So we<br />

were able to craft an engaging and relevant<br />

message for people ‘on the go’ about the need<br />

for refreshment or hydration.”<br />

At Gilbarco, Mark Williams pointed out,<br />

“There are TV network models that are purely<br />

third-party managed, while others are run by<br />

the retailer. But our Applause TV system is<br />

an interactive solution that combines both<br />

models. It's a turn-key, but the retailer also<br />

has site-specific control.”<br />

Interactivity is built into Applause TV be -<br />

cause customers can choose and print coupons<br />

at the dispenser. “Since a coupon is<br />

an immediate call to action”, said Williams,<br />

“not only are you capturing customers' attention,<br />

but the interactivity of printing coupons<br />

also means they become more invested in<br />

the experience – and more incentivized to<br />

make an immediate purchase.”<br />

The Applause TV system allows retailers<br />

to produce their own promotional content.<br />

But because it also carries (at each retailer's<br />

option) national advertisers, Williams added,<br />

“The coupons they sponsor benefit you be -<br />

cause you aren't paying for the discount.” Inpump<br />

TV is likewise effective for introducing<br />

new products “because you can reach all<br />

customers that visit your site, not just those<br />

that come into the store”.<br />

At the same time, the Gilbarco solution allows<br />

retailers to do daypart and site-specific<br />

marketing. “The best retailers know what<br />

they're good at and focus on that”, said<br />

Williams, “whether your key profit center<br />

might be your foodservice or your carwash”.<br />

In-pump TV can likewise be used for general<br />

promotion of a retailer's own brand.<br />

“You can use it to differentiate yourself and<br />

tell your story – maybe that you use local<br />

products, or offer different types of fuel, or<br />

clean restrooms every hour, or that you're<br />

environmentally conscious.”<br />

Retailers who install Applause TV with<br />

Outcast will feature a programming loop that<br />

includes weather and entertainment from<br />

CBS, HGTV, VH1 and The Food Network,<br />

among others. The system does not require<br />

new fuel dispensers since it may be retrofitted<br />

on newer dispenser models. Since the<br />

screen is integrated into the dispenser then<br />

maintenance is the retailer's responsibility,<br />

although Gilbarco centrally manages connectivity.<br />

Payback for the upgrade can be swift. “Just<br />

a one percent lift in store and fuel sales<br />

would translate into payback of less than a<br />

year”, said Williams. “Even if fuel sales do<br />

not increase, a two percent lift of in-store<br />

sales would make ROI closer to six months.”<br />

At Dresser Wayne, the company has also<br />

integrated screens into its Ovation dispensers.<br />

“The platform utilizes the screen at the<br />

center of the dispenser with soft keys that<br />

allow the user to interact”, said Tom Barrett,<br />

Vice President of global service.<br />

The design also allows for printing coupons<br />

at the pump. “By taking advantage of this<br />

feature”, Barrett said, “both national advertisers<br />

and local c-store owners get measurable<br />

results. Couponing also allows the user to<br />

tailor the experience. They can select their<br />

areas of interest and pick promotions based<br />

on them, thereby participating in the transaction.<br />

And we provide the tools to create<br />

your own promotions. If you're familiar with<br />

PowerPoint, it's easy.”<br />

Though the screen is embedded, nearly<br />

all Ovation dispensers can be upgraded<br />

to color, said Dan Harrell, vice president<br />

of technology services. “The older models<br />

don't have the space for the larger screens”,<br />

he explained, “but by and large, any Ovation<br />

dispenser manufactured since 2002 can be<br />

upgraded. And because we centrally manage<br />

connectivity, we can remotely troubleshoot<br />

if a screen isn't operating properly.”<br />

Cross-promotions are an obvious possibility<br />

for in-pump TV Marketing and Dresser<br />

Wayne Global Marketing Communications<br />

Manager D. P. Rabalais said that top sellers<br />

at many locations are bottled water and<br />

energy drinks. But fuel retailers can get<br />

mileage “not just from ads for store products,<br />

but also from forecourt promotions”, he said.<br />

“You can generate bigger margins by having<br />

16 LATEST NEwS, EVENTS, jObS ONLINE – www.PETrOLPLAzA.COM<br />

the consumer upgrade to a higher fuel grade<br />

or car wash.”<br />

Though messages can be tailored by daypart<br />

and site, Harrell said, “You can also customize<br />

down to the dispenser level. So if you want<br />

to push a different message to your diesel<br />

customers, you have that option.”<br />

Programmers, advertisers, and dispenser<br />

manufacturers that have committed to pump<br />

video services are being joined by fuel retailers<br />

large and small. Sunoco, after a two-year<br />

pilot of Gas Station TV, recently announced<br />

it would be rolling out the network to all its<br />

4 700 stores.<br />

Los-Angeles based United Oil features GSTV<br />

at 95 of its 130 locations, making creative<br />

use of its allotted TV time both for product<br />

promotions and corporate imaging. And in<br />

Anderson, Ind., Ricker Oil has piloted GSTV<br />

at four of 50 sites and in 2011 plans to introduce<br />

the service at ten or 15 more stores.<br />

TV at the pump is, GSTV's Leider believes,<br />

an effective way to address a problem that<br />

has bedeviled fuel retailers for years.<br />

Generally speaking an extremely comprehensive<br />

look at what many might<br />

describe as a very exciting opportunity<br />

for the retail petroleum industry, with<br />

the potential national audience for any<br />

advertiser being anyone and everyone<br />

who drives a car! There is certainly<br />

enough here to give us much to think<br />

about outside of America, but with<br />

the US being such a highly driven TV<br />

society, will these same statistics apply<br />

to markets in Europe, the Middle East,<br />

Africa, Asia and the rest of the world?<br />

If they do then there is little doubt that<br />

this media opportunity could be good<br />

news for everyone retailing fuel. The big<br />

question we think is how to make some<br />

real money from advertising. Linking<br />

in to companies producing high quality<br />

productions and selling adverts on<br />

a national basis must be the only way.<br />

The return for this could be a small slice<br />

of a very large cake from the provider,<br />

without the retailer having to do anything.<br />

Verdict; Once the correct infrastructure is<br />

in place, a definite winner for everyone!


LATEST NEwS, EVENTS, jObS ONLINE – www.PETrOLPLAzA.COM 17


18<br />

bP to sell Southern<br />

California operations<br />

Oil giant BP will unload its Southern California<br />

gasoline business, including the huge<br />

Carson refinery and its local Arco gasoline<br />

operations, as part of a broad overhaul following<br />

last year's Gulf of Mexico oil spill. BP<br />

informed that it also would sell its Texas City,<br />

Texas, refinery, where a 2005 explosion and<br />

fire killed 15 people and injured more than<br />

170 others. The sale of the California and<br />

Texas facilities will cut BP's refining capacity<br />

in half as it moves to divest US $ 30 billion<br />

in assets to pay gulf disaster costs. BP said<br />

it expected to get at least US $ 4.4 billion for<br />

the refineries, which represent about 28 percent<br />

of its global refining capacity, and the<br />

Los Angeles marketing operations. Sales are<br />

anticipated to be wrapped up by the end of<br />

2012, the company said.<br />

Aloha Petroleum Launch<br />

1st Station in Maui<br />

Even as the cost of fuel in Maui topped<br />

US $ 4 per gallon for regular unleaded gas<br />

last week, Aloha Petroleum announced<br />

it is is developing a new fuel service station<br />

and a 2 000-square-foot c-store next<br />

to Home Depot in Kahului. Not far from<br />

there, Costco is laying the groundwork for<br />

its own fuel service station near its store<br />

in Kahului. The coming of two new players<br />

has not gone unnoticed by competitors in<br />

the island's tough market to provide fuel<br />

to motorists. And, it comes at a time when<br />

Maui's current fuel providers are struggling,<br />

said Terry McBarnet, vice president of Maui<br />

Oil Co. “I don't think any service station on<br />

Maui is growing, They are either hanging in<br />

there or fighting not to go smaller”. Aloha<br />

Petroleum's new station is being built on a<br />

little more than a half-acre owned by Home<br />

Depot. The goal is to open it as early as<br />

the end of June, said Richard Parry, Aloha<br />

Petroleum's president and chief executive<br />

officer. The station would be Aloha Petroleum's<br />

first on Maui, he said. The company<br />

already has 43 stations on Oahu and 11 on<br />

the Big Island. Aloha Petroleum has the<br />

infrastructure to deliver fuel to its station<br />

after buying the Hawaii retail and terminal<br />

assets of Shell Oil Products and Honolulu<br />

Terminal LLC in May.<br />

USA News<br />

C.N. brown details CITGO rebranding<br />

CITGO's ability to sustain C.N. Brown's current<br />

gasoline volumes and handle growth in the<br />

future weighed heavily on the Maine-based<br />

company's recent decision to convert 42 of<br />

its locally owned gas stations from the Mobil<br />

fuel brand to the CITGO brand. The newly<br />

rebranded stations will feature CITGO's new<br />

street image, which was introduced at the end<br />

of last August and features a predominately<br />

red triform design on the retail canopy and<br />

pumps. The switch to CITGO came as the<br />

company's supply agreement with ExxonMobil<br />

was expiring, and C.N. Brown learned that<br />

the oil company was changing its distribution<br />

Declining volumes and US $ 4 at the pump<br />

Retail gasoline demand declined nearly 13 percent<br />

in the last week of 2010, as Americans<br />

extended their holiday vacations and snow<br />

storms buried the northeastern United States.<br />

While demand slid by 1.2 million barrels per<br />

day, prices were going the other direction.<br />

Data from the U.S. National average retail<br />

gasoline prices rose to their highest level since<br />

October 2008 in the last week of the year. 2011<br />

LATEST USA NEwS – www.PETrOLPLAzA.COM<br />

promises to remain as volatile. Overall U.S.<br />

average retail gasoline demand was almost<br />

flat last year, growing a meager 0.28 percent<br />

compared to 2009, and experts predict that<br />

trend will continue. Rising global demand will<br />

exert pressure on prices at the pump. Industry<br />

observers forecast the return of US $ 4.00 per<br />

gallon gasoline in 2011 in the United States<br />

reducing demand even further.<br />

SMArTLogix sells to Telular in the US<br />

SMARTLogix announced the sale of its select<br />

tank monitoring business assets to Telular<br />

Corporation. This strategic move positions<br />

SMARTLogix for aggressive growth and<br />

development. Supported by Telular's strength<br />

in machine to machine wireless communications,<br />

SMARTLogix will continue to be the<br />

exclusive provider for direct sales, marketing,<br />

and support for the SMARTank solution to<br />

the Petroleum Industry. As a result of this<br />

KSS Fuels maintain competitive edge<br />

Western Refining Wholesale, headquartered in<br />

El Paso, Texas, will use KSS Fuels RackPrice<br />

wholesale pricing solution to help it manage<br />

fuel prices at its wholesale locations. “In a high -<br />

ly volatile economic environment, it is a neces-<br />

model in the Northeast. Exxon was not going<br />

to provide the gasoline anymore; there would<br />

be a franchise relationship and a franchise fee,<br />

so they decided it was time to look around and<br />

see what else was out there.<br />

transaction, SMARTLogix will have a very<br />

strong balance sheet and the cash resources<br />

for aggressive new product development. By<br />

focusing on their core competencies – petro -<br />

leum industry expertise, strong R&D, streamlined<br />

product development and hands-on customer<br />

service – SMARTLogix is competitively<br />

positioned to bring world-class technology,<br />

monitoring sensors and business-critical data<br />

solutions to the market at a competitive price.<br />

sity to have an effective and efficient pricing<br />

strategy in place”, said Kevin Goode, VP, Western<br />

Refining Wholesale. “It is critical for us to<br />

have a flexible, efficient and responsive pricing<br />

process that enables us to analyze situations<br />

quickly and react accordingly.” “RackPrice will<br />

assist Western Refining in effectively managing,<br />

interpreting and responding to market factors<br />

via a suite of sophisticated tools. Because it is<br />

fully scaleable, the system can grow with the<br />

company as needed”, said Bob Stein, President<br />

and CEO of KSS Fuels.


LATEST NEwS, EVENTS, jObS ONLINE – www.PETrOLPLAzA.COM<br />

19


FEATUrE – IFFE<br />

erpec delegates at the IFFE show in<br />

Geoffrey Wheeler, from Eurotank and Gerry Herman from Conidia Bioscience, being interviewed about their testing kit<br />

for diesel bugs, by PetrolPlaza's Sandra Stroppel<br />

The IFFE show, originally called The<br />

Forecourt Marketing & Equipment Show,<br />

was the first exhibition of its kind when it<br />

was launched nearly 25 years ago in 1987.<br />

Combining shop products with retail petroleum<br />

equipment had never been tried<br />

before and its success was the catalyst for<br />

many replica shows to be launched across<br />

Europe. With most of these events having<br />

now been and gone, this one is still with<br />

us and continues to draw a reasonable attendance<br />

from the UK market. It's also a<br />

place where we caught up with a number<br />

of erpec delegates to find out what they are<br />

currently focusing on. These mini interviews<br />

can also be seen on PetrolPlaza TV, by<br />

visiting www.PetrolPlaza.com and clicking<br />

on the TV button.<br />

Istobal – Dave Lindon, UK business<br />

Development Manager & UK Managing<br />

Director Alan bennett<br />

The official launch of Istobal's new rollover<br />

wash in the UK, the M-NEX, drew a great deal<br />

of interest from visitors to their stand. Dave<br />

Lindon explained to us that the M-NEX has<br />

a wider wash than any other machine on the<br />

market, at 2.5 metres and is sold in a range<br />

of different washing heights. It also comes<br />

with unique foam brushes costing half the<br />

normal amount for replacements. Another<br />

benefit Dave pointed out to us is that the<br />

M-NEX has a much more powerful dryer,<br />

that surprisingly uses much less electricity.<br />

Managing Director Alan Bennett added that<br />

they had received confirmed orders for over<br />

60 machines since January this year.<br />

Otto Christ – Paul Griffiths, business<br />

Development Manager UK distributor,<br />

wilcomatic<br />

Paul introduced us to Otto Christ's latest<br />

development in jet washing, a new water<br />

heating system which has been devised for<br />

their latest jet washing machines. He pointed<br />

out that previously large amounts of water<br />

would be continually heated all day, but the<br />

new thinking is to locate a small reservoir<br />

into the base of the machine and heat the<br />

water on demand only. The clear benefits<br />

20 LATEST NEwS, EVENTS, jObS ONLINE – www.PETrOLPLAzA.COM<br />

are a much more effective machine and a<br />

far smaller electricity bill.<br />

Kärcher – Peter Spencer, Kärcher UK<br />

Managing Director<br />

It was the new, all-in-one, Jet wash brush and<br />

lance, that Peter wanted to talk mostly about,<br />

but he started off by saying that jet washes<br />

are growing in importance on UK forecourts<br />

and in many cases they are replacing rollovers.<br />

Talking about the unique washing tool<br />

that Kärcher have created, this is called the<br />

Combi Lance, developed less than 12 months<br />

ago, featuring a brush, which when its head<br />

is pulled down the shaft, becomes a lance. It<br />

may be simple, but it is extremely effective<br />

and removes the need for having two separate<br />

attachments. Peter also told us that their<br />

jet washes are buy-time and can operate in<br />

temperatures exceeding -20 degrees. All their<br />

machines he pointed out can operate in sub<br />

zero temperatures.<br />

Eurotank Environmental – Geoffrey<br />

wheeler, Marketing Director


Birmingham UK<br />

Bugs in diesel tanks was a big focus for the<br />

Eurotank team at the IFFE show and they<br />

were joined by Gerry Herman from Conidia<br />

Bioscience, who is working with them to<br />

highlight the problems of bugs for retailers.<br />

More importantly, Eurotank are developing<br />

workable solutions with Conidia, for this<br />

biodiesel menace, which they say can be<br />

controlled effectively with a new product they<br />

are marketing. It was explained by Eurotank's<br />

Geoffrey Wheeler that bugs are actually a<br />

consortium of yeasts, fungi and something<br />

else which sounded so frightening I forgot to<br />

make a note of it. Conidia have developed a<br />

simple kit, rather like a pregnancy test, which<br />

in less than 10 minutes will tell retailers exactly<br />

which bug they are dealing with and its<br />

level of severity. So how do we get rid of the<br />

bugs once we have found them? Specialised<br />

cleaning techniques, which Eurotank can apply,<br />

was the answer from Geoffrey. With this<br />

new piece of equipment, it puts the control<br />

of bugs firmly in the hands of the operator,<br />

as the test is that simple anyone can do it!<br />

Scheidt & bachmann – Ian jacques, UK<br />

Managing Director<br />

Ian took us straight to S&B's new 240 OPT<br />

terminal and gave us a quick demonstration<br />

as to how it works. He drew our attention to<br />

a very user friendly screen, selecting English<br />

as the preferred language and fed a £ 20 bank<br />

note simply into the terminal, which resulted<br />

in clear instructions appearing on the screen<br />

within a matter of seconds, telling us how to<br />

proceed with fuelling. It was very easy to use<br />

and the screen was extremely uncomplicated<br />

and is certainly designed make most people's<br />

life a great deal easier. The terminal takes<br />

cash, credit cards and fuel cards as an option.<br />

Using the same technology, this product is<br />

now available worldwide.<br />

Dresser wayne – Soren Powell-Holse,<br />

Sales Manager UK & Ireland<br />

Talking about the Global Star range of dispensers<br />

being the most popular across Europe,<br />

Soren told us has that their secure payment<br />

Peter Spencer, Kärcher UK Managing Director, talked<br />

about the growing importance of jet washes.<br />

By Nick Needs<br />

solution IXP, had been attracting significant<br />

interest from the independent sector in the<br />

UK. He also pointed out that their leading<br />

technology in automatic temperature control<br />

and X flow meter, were other key factors which<br />

featured highly in visitor enquiries at the show.<br />

Tokheim S.A.S. – Adrian beeby, UK Sales<br />

Manager<br />

Media capability on the forecourt was very<br />

much the theme for Tokheim's stand. Adrian<br />

was quick to show us their TQC VGA –<br />

Tokheim Quality Calculator with a new<br />

Video Graphics Adapter on it, which in short,<br />

means their new pump, complete with TV!<br />

And, very impressive it was too, with a 17 inch<br />

screen, full media capabilities, running media<br />

from a media server, allowing it complete<br />

flexibility on or off the site. Most interestingly,<br />

the display has three ongoing states of<br />

play. Idle, for when the customer approaches<br />

the dispenser, which can be used to promote<br />

safety or how to use the terminal for example.<br />

Then, once the nozzle is lifted, the display can<br />

move into a media state advertising in store<br />

offers or special company promotions. When<br />

fuelling is complete and the nozzle replaced,<br />

the information regarding the sale of fuel is<br />

displayed clearly on the screen.<br />

brulines Fuel Solutions – Phil Prow, Sales &<br />

Marketing Director<br />

Several topics were being talked about on the<br />

Brulines stand, all of which centred on ‘real<br />

time monitoring’. Phil explained that overnight<br />

theft, improving margins by linking in with<br />

Brulines stock inventory software and managing<br />

retail products and costs much more<br />

efficiently through their price predictor tool,<br />

were all matters of key importance for visitors<br />

on their stand. Saving money is the route to<br />

increased profit, was the message that Phil<br />

was keen to put over, particularly with the<br />

volatile price of fuel which he points out can<br />

change so quickly. When asked to predict the<br />

price of fuel in the coming month, Phil took<br />

a deep breath and said in the UK it might go<br />

up 5 p. But he also added, that it might not!<br />

Soren Powell-Holse, Sales Manager UK & Ireland, Dresser<br />

Wayne, highlighting their IXP secure payment system.<br />

LATEST NEwS, EVENTS, jObS ONLINE – www.PETrOLPLAzA.COM<br />

FEATUrE – IFFE<br />

Htec – janet barraclough, Group Marketing<br />

Manager<br />

A new application for loyalty and payment<br />

terminals was demonstrated by Janet, who<br />

said that this new product represented two<br />

years work for Htec and is a replacement for<br />

their existing Gemini terminal. With global<br />

loyalty schemes running across multiple<br />

countries outside the UK, Janet made it quite<br />

clear that marketing their back office and<br />

point of sale systems in mainland Europe is<br />

a primary objective for them now.<br />

Fairbanks – bob Conlin, Managing Director<br />

Fuel theft was also one of the main items of<br />

discussion on Fairbanks stand and Bob was<br />

quick to point out that whilst many retailers<br />

talk about the threat of pollution in their tanks,<br />

the hot topic at the moment is trying to avoid<br />

having your petroleum removed from its tank<br />

by organised gangs, adding that the UK is<br />

not the only country where this happens. A<br />

monitoring system, which can detect small<br />

changes in the stock very quickly and alert the<br />

police at the earliest opportunity, is one that<br />

Fairbanks offer. With the same problems all<br />

over the world Fairbanks are now looking to<br />

offer their products across India and China.<br />

Franklin Fueling – Peter van der Gaag,<br />

Area Manager<br />

Standing in front of an INCON fuel management<br />

system, Peter explains that this product<br />

has been in the market for about two years,<br />

but they have developed a new platform which<br />

they call the five series. Demonstrating the<br />

easy to read screen, showing individual tank<br />

gauges, report functions and alarms histories,<br />

everything is linked to remote access over the<br />

internet. He emphasises that a great feature<br />

of this machine is that it does not need additional<br />

software. A web browser using internet<br />

explorer will give you access to everything<br />

you need to know, he says.<br />

See all the interviews on PetrolPlaza TV at<br />

www.PetrolPlaza.com<br />

IFFE organiser Andrew Reed, said that Sunday was quiet but,<br />

overall they were pleased with attendance figures.<br />

21


22<br />

Hyderabad shifts to<br />

NGVs to overcome<br />

pollution<br />

Hyberabad will have 350 Compressed Natural<br />

Gas (CNG) buses on its city roads by April<br />

this year, says Bhure Lal, Chairman of the<br />

Environment Pollution (Prevention & Control)<br />

Control Authority (EPCA). Additionally the<br />

city will get 14 gas filling stations to ensure<br />

smooth functioning of this fleet. Lal reportedly<br />

said that an immediate shift to CNG<br />

from diesel and petrol along with a strong Bus<br />

Rapid Transit System (BRTS) was necessary<br />

to address the pollution woes of the city. Lal<br />

added that CNG supplier Bhagyanagar Gas<br />

Limited (BGL) had been tasked to deliver gas<br />

to all a of the city within two-and-half-years,<br />

to provide the infrastructure for increasing the<br />

number of filling stations and to support the<br />

growing number of natural gas vehicles (NGVs).<br />

Parking and charging<br />

EVs in Europe without<br />

pre-registration<br />

Companies Hectronic and Younicos are<br />

enabling electric vehicle users in Europe to<br />

conveniently pay for a combined park and<br />

charge service in Europe for the first time.<br />

Identification, authorisation and payment<br />

occur by simply taking a parking ticket. The<br />

advantage of this model is that unlike existing<br />

systems, the user group is open, meaning<br />

that the service can also be used by travelers<br />

in transit. With the development of the<br />

charging/parking columns in one, Hectronic<br />

and Younicos are henceforth combining their<br />

forces in the field of electromobility. Hectronic<br />

is providing its expertise in the development<br />

and manufacturing of intelligent payment<br />

and identification systems and fuelling while<br />

Younicos is developing intelligent charging<br />

columns for sustainable electromobility.<br />

Further to the pilot project in Frankfurt am<br />

Main, other joint projects are also currently<br />

in the planning stage around the world.<br />

ALTERNATIVEFUeL News<br />

rising fuel costs boost to electric car industry<br />

Rising fuel prices may be stalling motorists<br />

just now, but their plight could yet provide the<br />

driving force for change in the nation's motoring<br />

habits. That is the belief of one Dundee<br />

company at the forefront of lithium-ion battery<br />

technology – science that is already helping to<br />

power electric and hybrid vehicles around the<br />

world. Axeon firmly believes that with petrol<br />

and diesel prices set to continue soaring, the<br />

LATEST ALTErNATIVE FUEL NEwS – www.PETrOLPLAzA.COM<br />

NEwS<br />

Utah fuel station opens with free car charging<br />

Smith's Food and Drug Stores opened its<br />

newest fuel station in Utah. The fuel centre<br />

is the first to incorporate a free, courtesy<br />

charging station for customers driving electric<br />

cars to “top off” their battery levels while<br />

they shop. Smith's also installed equipment<br />

to allow for the future use of solar panels to<br />

power the fuel station as well as equipment<br />

The government is currently exploring the<br />

possibility of giving incentives to encourage<br />

car owners to use natural gas for their<br />

vehicles, a minister said this week. National<br />

Development Planning Minister Armida S.<br />

Alisjahbana said that the government was<br />

committed to promoting natural gas usage in<br />

the country to deal with the energy shortage<br />

problem, particularly in the industrial and<br />

Atlanta Gas Light (AGL), Georgia's dominant<br />

natural gas supplier, wants to take $ 10 million<br />

from a special ratepayer fund to fuel the<br />

vehicles of tomorrow. But that isn't sitting<br />

well with potential competitors who are also<br />

betting compressed natural gas will emerge<br />

as a cleaner-burning, lower-cost alternative to<br />

$ 3-a-gallon gasoline. State utility regulators,<br />

who are being wooed by AGL and its potential<br />

competitors, will eventually decide whether<br />

Japan's top three automakers Toyota, Honda<br />

and Nissan have united with Japanese energy<br />

firms in a push to commercialize greener<br />

hydrogen fuel cell cars and build a network<br />

of fuelling stations. Along with 10 Japanese<br />

energy groups including natural gas refiners<br />

era of the electric car is truly upon us. The firm<br />

thinks that if road users are willing to take a<br />

leap of faith, its technology will not let them<br />

down. However the problem with replacing the<br />

internal combustion has been replicating the<br />

infrastructure that has been built up around it.<br />

In a world in which electric vehicles dominate,<br />

petrol stations dotted throughout towns will be<br />

replaced by charging points on streets.<br />

required for the sale of natural gas. “The<br />

electric charge station was another opportunity<br />

to offer something rather unique (and)<br />

more environmentally friendly”, said Marsha<br />

Gilford, Vice President of public affairs for<br />

Smith's Food and Drug. “Particularly in<br />

the Community”, there is a lot of interest<br />

in those kinds of measures.”<br />

Indonesian government incentives to use gas<br />

Atlanta Gas Light stirs debate<br />

transportation sectors. “We're currently focusing<br />

on boosting natural gas usage for public<br />

and private vehicles. Gas is cheaper and also<br />

cleaner than oil-based fuels”, she said. Mrs<br />

Alisjahbana explained that promoting gas<br />

would require expensive investments since it<br />

meant new infrastructure, moreover, every car<br />

owner would have to buy a conversion kit to<br />

allow them to use the gas-based fuels.<br />

AGL can tap the fund. The company will<br />

finalize its request to regulators next month.<br />

Indonesian government incentives to use gas<br />

and distributors, the companies are aiming to<br />

build 100 filling stations by 2015. The automakers<br />

are making a renewed push behind<br />

Fuel Cell Vehicles (FCVs), which convert<br />

hydrogen into electricity and emit nothing<br />

more harmful than water vapour.


www.air-serv.eu<br />

www.alucobond.com<br />

www.aspentech.com<br />

www.atosworldline.com<br />

www.belugacorporation.com<br />

www.bennettpump.com<br />

www.bennett-sauser.ch<br />

www.beverinnovations.com<br />

www.brugg.de<br />

www.ceccato.it<br />

www.dresserwayne.com<br />

www.plxpipe.com<br />

www.eurotank.eu.com<br />

TM<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.kaercher.com<br />

www.kpsystem.com<br />

www.kubald.com<br />

www.leightonobrien.com<br />

www.mepsan.com.tr<br />

www.mueller-offenburg.de<br />

www.nupigeco.com<br />

www.ono-oil.com<br />

LATEST NEwS, EVENTS, jObS ONLINE – www.PETrOLPLAzA.COM<br />

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.stc-norway.com<br />

www.tammerneon.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 />

23

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