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Costco joins fuel war in Australia Qatar Petroleum ... - ErpecNews

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an <strong>in</strong>ternational retail petroleum news digest<br />

<strong>Costco</strong> <strong>jo<strong>in</strong>s</strong> <strong>fuel</strong> <strong>war</strong> <strong>in</strong> <strong>Australia</strong><br />

International discount giant <strong>Costco</strong> is scour<strong>in</strong>g<br />

Melbourne for its first cut-price service station<br />

<strong>in</strong> read<strong>in</strong>ess for a <strong>fuel</strong> <strong>war</strong>. The US <strong>war</strong>ehouse<br />

cha<strong>in</strong> has identified sites <strong>in</strong> the southern and<br />

northern suburbs. It hopes to have its first <strong>fuel</strong><br />

pumps flow<strong>in</strong>g with<strong>in</strong> a few years. A new <strong>Costco</strong><br />

www.erpecnews.com<br />

retail outlet will be built alongside the service<br />

station. <strong>Costco</strong>’s entry <strong>in</strong> the <strong>fuel</strong> market will<br />

<strong>in</strong>tensify competition between the other two<br />

big players, Coles and Woolworths. <strong>Costco</strong> is<br />

await<strong>in</strong>g State Government approval, expected<br />

<strong>in</strong> February, to roll out its first petrol outlet<br />

north of Brisbane. <strong>Costco</strong> <strong>Australia</strong> Manag<strong>in</strong>g<br />

Director Patrick Noone said the <strong>Costco</strong> <strong>in</strong>itiative<br />

“will be competition, competition, competition.<br />

That’s the name of the game – we would like to<br />

have several stores <strong>in</strong> the Melbourne market”,<br />

he said. Putt<strong>in</strong>g pressure on the majors to do<br />

a better deal will <strong>in</strong>crease competition.<br />

<strong>Qatar</strong> <strong>Petroleum</strong> wants stake <strong>in</strong> Petronet LNG<br />

<strong>Qatar</strong> <strong>Petroleum</strong> has expressed <strong>in</strong>terest <strong>in</strong><br />

buy<strong>in</strong>g a 5.2 percent stake <strong>in</strong> Petronet LNG<br />

Ltd, a potentially conflict of <strong>in</strong>terest proposition<br />

as it will give the gas supplier a vantage<br />

position as India’s largest <strong>fuel</strong> importer.<br />

<strong>Qatar</strong> <strong>Petroleum</strong>, the Persian Gulf country’s<br />

state-run energy firm, has majority stakes <strong>in</strong><br />

RasGas and <strong>Qatar</strong>Gas that along with other<br />

liquefied natural gas (LNG) suppliers <strong>in</strong> the<br />

world compete to sell <strong>fuel</strong> to India. If <strong>Qatar</strong><br />

<strong>Petroleum</strong> (QP) picks up 5.2 percent stake as<br />

well as a board position <strong>in</strong> Petronet, it will give<br />

the company an undue advantage over other<br />

suppliers as it will be privy to price and other<br />

negotiations, sources <strong>in</strong> Petronet’s company<br />

said. This will possibly be the first <strong>in</strong>stance<br />

of a LNG supplier pick<strong>in</strong>g up a stake <strong>in</strong> an<br />

import<strong>in</strong>g firm.<br />

Zambia talk<strong>in</strong>g to Gunvor and Trafigura<br />

Zambia has opened talks with foreign firms<br />

Gunvor and Trafigura regard<strong>in</strong>g a two-year<br />

supply of oil and ref<strong>in</strong>ed <strong>fuel</strong> start<strong>in</strong>g this year,<br />

a senior government official has said. Energy<br />

secretary George Zulu said the gov ern ment<br />

was talk<strong>in</strong>g to Geneva-based Gunvor over the<br />

supply of 1.4-million tons of oil and Trafigura<br />

on the supply of diesel and petrol. Ten foreign<br />

companies, <strong>in</strong>clud<strong>in</strong>g Glencore Energy UK,<br />

tendered to supply <strong>fuel</strong> to Zambia which had<br />

<strong>in</strong>vited tenders after the expiry of a contract<br />

with Glencore.<br />

Issue No 23 | January/February 2013<br />

AsiA, Middle eAst & AfricA edition<br />

Petronas energy<br />

efficient stations<br />

To ma<strong>in</strong>ta<strong>in</strong> themselves as the local<br />

market leader <strong>in</strong> the oil and gas <strong>in</strong>dustry,<br />

Petronas Dagangan Berhad (PDB) has<br />

launched two new energy-efficient “tw<strong>in</strong><br />

<strong>fuel</strong> stations”. This new breed of station<br />

offer customers the convenience of a rest<br />

stop for their travell<strong>in</strong>g needs with different<br />

services and experiences. There<br />

are four energy-efficient characteristics<br />

which separate these two stations from<br />

the regular, specifically, hav<strong>in</strong>g solar<br />

photovoltaic panel, light-emitt<strong>in</strong>g diode<br />

(LED) lights, ra<strong>in</strong> water harvest<strong>in</strong>g and<br />

nitrogen tyre-<strong>in</strong>flator. The solar photovoltaic<br />

panel has the capacity to generate around<br />

200 KW of electricity per hour. This power<br />

source is equivalent to the energy needed<br />

to supply 90 households a year. With this<br />

<strong>in</strong>novative move, the stations can reduce<br />

greenhouse emissions by approximately<br />

138 tons of carbon dioxide annually. The<br />

two station’s light<strong>in</strong>g <strong>in</strong>stallation reduces<br />

electricity expenditure while provid<strong>in</strong>g<br />

better light<strong>in</strong>g illum<strong>in</strong>ation to the area.<br />

Also, the LED lights are regulated by an<br />

energy management system which controls<br />

and manages the air-condition<strong>in</strong>g<br />

temperature at the station to provide a<br />

comfortable environment for customers.<br />

As part of Petronas’ water conservation<br />

efforts, the ra<strong>in</strong> water harvest<strong>in</strong>g system<br />

was built to prevent water be<strong>in</strong>g wasted.<br />

Approximately 82 500 litres is recycled!<br />

erpecnews is published by McLean Communications Ltd. <strong>in</strong> conjunction with PetrolPlaza – www.erpecnews.com


2<br />

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Advertis<strong>in</strong>g will be accepted <strong>in</strong> each issue<br />

on a limited basis. All requests for advertis<strong>in</strong>g should<br />

be sent to advertis<strong>in</strong>g@erpecnews.com<br />

Pr<strong>in</strong>ted by<br />

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is published monthly by McLean<br />

Communications Ltd. <strong>in</strong> conjunction with<br />

PetrolPlaza.com and distributed to retail petroleum<br />

operations <strong>in</strong> Europe and the Middle East. McLean<br />

Communications Ltd. is the organiser of ,<br />

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The views expressed <strong>in</strong> pr<strong>in</strong>t are those of the<br />

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Communications Ltd.<br />

totAL unveils its new visual identity<br />

Total Jordan has unveiled the new visual<br />

identity of its service-station network. ToTAL<br />

say that the ‘T-Air’ image is another sign of<br />

the cont<strong>in</strong>uous dynamism and <strong>in</strong>novation <strong>in</strong><br />

ToTAL Group. Total Jordan will gradually<br />

roll out the new design <strong>in</strong> 2013 and 2014 at<br />

all of its service stations as part of its aim to<br />

strengthen its network’s identity with a more<br />

latest news, events, jobs onl<strong>in</strong>e – www.PetrolPlaza.com<br />

contemporary image and more energy efficient<br />

<strong>in</strong>stallations. As of today, Total Jordan operates<br />

24 service stations employ<strong>in</strong>g about 500<br />

people. The recent a<strong>war</strong>d of an oil Market<strong>in</strong>g<br />

Company License will allow Total Jordan<br />

to cement its position <strong>in</strong> the country and<br />

significantly enlarge its presence to be more<br />

accessible to every Jordanian.<br />

tanzania – local tender for bulk <strong>fuel</strong><br />

For the first time s<strong>in</strong>ce the <strong>in</strong>troduction of the<br />

Bulk Procurement System (BPS) of purchas<strong>in</strong>g<br />

<strong>fuel</strong>, a local company has participated <strong>in</strong><br />

the tender<strong>in</strong>g process and emerged as the<br />

w<strong>in</strong>ner. Gapco Tanzania Ltd is the first local<br />

company to apply and w<strong>in</strong> the tender. It will<br />

supply 282 870 metric-tonnes of oil products<br />

for delivery <strong>in</strong> February this year. “We made<br />

the best offer with the support of our parent<br />

company, Reliance Industries”, Gapco’s<br />

Bus<strong>in</strong>ess Development Manager Natarajan<br />

Anand expla<strong>in</strong>ed. The Indian conglomerate<br />

company, Reliance Industries, acquired the<br />

petroleum market<strong>in</strong>g operations of Gapco <strong>in</strong><br />

2007. Gapco also offered the most competitive<br />

weighted average DAP Premier per Metrictonnes<br />

which is worth $ 52.55.<br />

esso plans 100 stations <strong>in</strong> three years<br />

Esso Thailand has outl<strong>in</strong>ed plans to grow its<br />

<strong>fuel</strong> retail network by 100 <strong>fuel</strong> service stations<br />

with<strong>in</strong> the next three years. The company plans<br />

to have a network of 570 sites operational by<br />

2015. Esso Thailand’s Director and Retail<br />

Sales Manager Yodpong Sutatham noted that<br />

the company had renovated 200 of its <strong>fuel</strong><br />

service stations over the past two years with<br />

another 100 to be renovated <strong>in</strong> 2013. Esso<br />

has allocated an <strong>in</strong>vestment budget of 1 billion<br />

baht for bus<strong>in</strong>ess expansion this year, up<br />

from about 600 million baht spent <strong>in</strong> 2012.<br />

Ptt offer e20 gasohol at 1 000 stations<br />

PTT will expand to 1 000 the number of <strong>fuel</strong><br />

stations pump<strong>in</strong>g E20 gasohol, from 600 currently,<br />

after the removal of 91-octane petrol<br />

from the market this year. The company’s E20<br />

gasohol campaign that started <strong>in</strong> August last<br />

year had doubled the sales of this <strong>fuel</strong>, which<br />

is 20 percent ethanol, to 24 million litres<br />

per day. Dur<strong>in</strong>g this year PTT wil convert<br />

its 91-octane pumps to distribute 95-octane<br />

petrol and E20 gasohol, with more focus on<br />

the latter. The company plans to pump E20<br />

at 400 more stations than the current level,<br />

for a total of 1 000 stations nationwide. It<br />

has also drawn up a comprehensive plan to<br />

promote E85 gasohol.<br />

Pertam<strong>in</strong>a plans downstream <strong>in</strong>vestment<br />

Indonesian state oil firm Pertam<strong>in</strong>a plans<br />

to <strong>in</strong>vest $ 6.77 billion <strong>in</strong> its upstream and<br />

downstream arms as it seeks to boost production<br />

and strengthen the country’s energy<br />

<strong>in</strong>frastructure. The <strong>in</strong>vestment has been<br />

confirmed <strong>in</strong> the company’s 2013 budget and<br />

work plan follow<strong>in</strong>g a meet<strong>in</strong>g of the general<br />

shareholders. “our <strong>in</strong>vestment strategy this<br />

year will be focused on major projects that will<br />

smooth the progress of Pertam<strong>in</strong>a to becom<strong>in</strong>g<br />

a world-class energy company”, remarked Karen<br />

News – MIDDLe eAst, AFrICA & AsIA<br />

Agustiawan, Pertam<strong>in</strong>a’s President Director.<br />

46 percent of the <strong>in</strong>vestment, $ 3.1 billion,<br />

has been allocated to the upstream bus<strong>in</strong>ess,<br />

where the company plans to <strong>in</strong>crease crude<br />

output to 244 000 barrel per day. Pertam<strong>in</strong>a<br />

will <strong>in</strong>vest $ 638 million and $ 546 million <strong>in</strong><br />

its ref<strong>in</strong><strong>in</strong>g and market<strong>in</strong>g bus<strong>in</strong>ess respectively.<br />

Lubricant sales have been targeted as a key<br />

source of growth: the company plans to sell<br />

680 000 kilolitres of lubricant products this<br />

year, up from 617 000 kilolitres <strong>in</strong> 2012.<br />

3


News – MIDDLe eAst, AFrICA & AsIA<br />

4<br />

Indian ref<strong>in</strong>ers contribute<br />

to growth – IeA<br />

India’s ref<strong>in</strong>ers were some of the biggest<br />

contributors to global ref<strong>in</strong><strong>in</strong>g growth dur<strong>in</strong>g<br />

2012, accord<strong>in</strong>g to the International<br />

Energy Agency (IEA). In its latest figures,<br />

the energy watchdog reported that India<br />

4.5 million barrel per day of crude oil <strong>in</strong><br />

october, 680 000 barrel per day higher<br />

than a year earlier. In the year to october<br />

2012, crude runs are up 260 000 barrel per<br />

day on 2011, account<strong>in</strong>g for almost half<br />

of global crude throughput growth <strong>in</strong> the<br />

same period. In 2013, another 400 000<br />

barrel per day of capacity could be added<br />

if Indian oil Corporation’s 300 000 barrel<br />

per day Paradip and Nagarjuna’s 120 000<br />

barrel per day Cuddalore ref<strong>in</strong>eries are<br />

completed on schedule. However, the IEA<br />

noted that further <strong>in</strong>vestments planned for<br />

the medium term are gett<strong>in</strong>g <strong>in</strong>creas<strong>in</strong>gly<br />

hard to justify, as India’s state ref<strong>in</strong>ers<br />

have to supply the domestic market at<br />

subsidised prices.<br />

bPC Corporation<br />

f<strong>in</strong>alises contracts<br />

Bangladesh <strong>Petroleum</strong> Corporation (BPC)<br />

said that it f<strong>in</strong>alised contracts with eight<br />

foreign companies to import oil products<br />

for the first half of this calendar year<br />

at mostly higher premiums than <strong>in</strong> the<br />

current contracts. BPC is the country’s<br />

only oil importer and distributor. The<br />

government ‘generously’ subsidises the<br />

BPC that sells <strong>fuel</strong>-oil to the local market<br />

at lower prices than the import rates. The<br />

total subsidy for the year to June 2012<br />

was Taka 460 billion ($ 6 billion), which<br />

is above double the orig<strong>in</strong>al estimate of<br />

Taka 200 billion and up from Taka 195<br />

billion <strong>in</strong> 2011.<br />

Fuel subsidy bill<br />

ris<strong>in</strong>g <strong>in</strong> <strong>in</strong> egypt<br />

Egyptian General <strong>Petroleum</strong> (EGPC)<br />

Chairman Hani Dahi <strong>war</strong>ned that costs<br />

of <strong>fuel</strong> subsidies is grow<strong>in</strong>g and may reach<br />

30.9 billion Egyptian pounds ($ 4.79 billion)<br />

for the first quarter of the calendar<br />

year. Dahi said that Egypt have spent<br />

30 billion pounds each quarter subsidis<strong>in</strong>g<br />

<strong>fuel</strong> s<strong>in</strong>ce the current fiscal year began<br />

1st July. 20 percent of the country’s public<br />

expenditure is absorbed by <strong>fuel</strong> subsidy.<br />

“Spend<strong>in</strong>g on <strong>fuel</strong> subsidies <strong>in</strong> the third<br />

quarter will rise between 2 percent to<br />

3 percent”, said Dahi. Egypt is currently<br />

work<strong>in</strong>g to f<strong>in</strong>alise an IMF loan for $ 4.8 billion,<br />

while EGPC owes foreign partners<br />

a total of $ 4.5 billion.<br />

Unioil to expand retail network<br />

Small <strong>fuel</strong> company Unioil Philipp<strong>in</strong>es <strong>Petroleum</strong><br />

Inc. is look<strong>in</strong>g at <strong>in</strong>vest<strong>in</strong>g a m<strong>in</strong>imum<br />

of 200 million Phillip<strong>in</strong>e pesos as it plans to<br />

further expand its retail network. Unioil say<br />

they plan to put up 10 to 12 service stations<br />

this year and between 10–12 stations annually<br />

over the next three years. They expect a 15<br />

percent growth <strong>in</strong> sales volume <strong>in</strong> 2013 driven<br />

by their planned expansion. The company is<br />

LAtest News, eveNts, Jobs oNLINe – www.PetroLPLAzA.CoM<br />

focused only on build<strong>in</strong>g company-owned<br />

stations however they are not clos<strong>in</strong>g their<br />

doors to dealer-owned stations. Recently<br />

Unioil launched its “Go Green Future Campaign”,<br />

which promotes Euro Diesel IV <strong>fuel</strong><br />

available <strong>in</strong> all of its service stations. They<br />

are sourc<strong>in</strong>g Euro Diesel IV stocks from<br />

S<strong>in</strong>gapore and is more than two years ahead<br />

of the 2016 mandate.<br />

engen – largest <strong>fuel</strong> supplier <strong>in</strong> Kenya<br />

In what is expected to dim<strong>in</strong>ish the practice<br />

of oil price fix<strong>in</strong>g <strong>in</strong> Kenya, Engen, has signed<br />

a strategic partnership with the Kenya Inde -<br />

pen dent <strong>Petroleum</strong> Dealers Association<br />

(KIPEDA). Under the deal, Engen is expected<br />

to supply (as the sole supplier of the group)<br />

<strong>fuel</strong>, lubricants and technical support on <strong>fuel</strong><br />

station operation, to <strong>in</strong>dependent dealers that<br />

have no l<strong>in</strong>ks to mult<strong>in</strong>ational oil majors.<br />

KIPEDA went <strong>in</strong>to strategic partnership with<br />

Engen, which the group felt could help it<br />

leverage the strength of its members to their<br />

collective benefit. Independent <strong>in</strong>digenous<br />

Kenyan dealers operate more than 500 sites<br />

currently – mak<strong>in</strong>g up half of the Kenyan<br />

retail <strong>fuel</strong> sector. The deal with Engen is<br />

expected to overcome erratic <strong>fuel</strong> and lubricants<br />

supply, uneconomic price marg<strong>in</strong>s and<br />

lack of access to quality products.<br />

Nigeria to build 30 new <strong>fuel</strong> stations<br />

The Nigerian National <strong>Petroleum</strong> Corpora -<br />

tion (NNPC) plans to build new petrol stations<br />

for about 4 billion naira this year even<br />

as it said that the Federal Government lost<br />

241.93 billion naira to crude theft between<br />

2006 and last year. The highest 98.03 billion<br />

naira theft was recorded <strong>in</strong> 2011. The nation<br />

lost another 105 billion nairas to pipel<strong>in</strong>e<br />

vandalisation <strong>in</strong> Niger Delta. These figures<br />

were conta<strong>in</strong>ed <strong>in</strong> the NNPC’s 2012 budget<br />

performance and its proposed 2013 budget<br />

which it submitted to the National Assembly<br />

Jo<strong>in</strong>t Committees on <strong>Petroleum</strong> Resources<br />

(Upstream/Downstream/Gas).<br />

Ch<strong>in</strong>ese firm to build $ 7.5 billion ref<strong>in</strong>ery<br />

S<strong>in</strong>o Arab Energy (SAE), a Ch<strong>in</strong>ese firm,<br />

has concluded plans to build a ref<strong>in</strong>ery at<br />

Akabuyo, <strong>in</strong> the Local Government Area of<br />

Cross River State, Nigeria <strong>in</strong> partnership with<br />

a local firm, osabo Ref<strong>in</strong><strong>in</strong>g and Petrochemical<br />

Industry Limited. The ref<strong>in</strong>ery, which is<br />

expected to process 107 000 barrel per day of<br />

crude, has been valued at $ 7.5 billion. Hon<br />

Etim Effiong okon, a member of osabo’s<br />

management team, said that the process<br />

for the procurement of requisite licenses<br />

to establish and operate the ref<strong>in</strong>ery had<br />

commenced. He promised that Akwa Esuk<br />

Eyamba, the community where the ref<strong>in</strong>ery<br />

will be located, had donated 500 hectares<br />

of land for the facility. The ref<strong>in</strong>ery is set for<br />

completion with<strong>in</strong> five years, with construction<br />

beg<strong>in</strong>n<strong>in</strong>g <strong>in</strong> 2014.<br />

Israel backs alternative <strong>fuel</strong>s to petroleum<br />

Israel’s Government has backed the development<br />

of compressed natural gas, methanol<br />

mixes and other <strong>fuel</strong> alternatives, not<strong>in</strong>g that<br />

non-petroleum <strong>fuel</strong>s will reduce the country’s<br />

dependence on oil. 2013 to 2025 will become<br />

a transition period for Israel’s transportation<br />

sector to non-petroleum alternative energy<br />

sources. A team led by National Economic<br />

Council Chairman Professor Eugene Kandel<br />

was formed <strong>in</strong> 2010 to formulate national policy<br />

on reduc<strong>in</strong>g petroleum dependence and calls for<br />

1.5 billion shekel state <strong>in</strong>vestment <strong>in</strong> alternative<br />

<strong>fuel</strong>s over the next decade. The plan is to<br />

reduce the weight of petroleum as an energy<br />

source for transportation by 30 percent <strong>in</strong> 2020<br />

and 60 percent <strong>in</strong> 2025. The proposal also<br />

mandates that the government must establish<br />

a comprehensive action plan for alternative <strong>fuel</strong><br />

<strong>in</strong>tegration, while simplify<strong>in</strong>g bureaucratic and<br />

regulatory processes that will promote technological<br />

developments as well as <strong>in</strong>frastructure<br />

growth for alternative transportation.


latest news, events, jobs onl<strong>in</strong>e – www.PetrolPlaza.com<br />

5


6<br />

News – MIDDLe eAst, AFrICA & AsIA<br />

engen goes ‘Green’<br />

<strong>in</strong> sub saharan Africa<br />

Engen has completed its green<strong>in</strong>g pilot at<br />

three African retail service sites, mak<strong>in</strong>g<br />

multiple energy- and water-sav<strong>in</strong>g alterations.<br />

It now believes it has identified the<br />

most effective and efficient susta<strong>in</strong>ability<br />

<strong>in</strong>terventions for its purposes, ones that can<br />

decrease its carbon footpr<strong>in</strong>t and operat<strong>in</strong>g<br />

costs when rolled out more broadly. In<br />

subsequent projects, the group will focus<br />

on green<strong>in</strong>g more of its retail sites <strong>in</strong> its 19<br />

territories across sub-Saharan Africa and the<br />

Indian ocean Islands and, after that, turn<br />

to its depots and offices across the group.<br />

Petronas completes<br />

acquisitions<br />

Petronas Dagangan Bhd (PDB) has announced<br />

the completion of its acquisition<br />

of Petronas Vietnam Co Ltd (PVL) and<br />

Thang Long LPG Co Ltd (TLLCL) <strong>in</strong><br />

Vietnam <strong>in</strong> accordance with the terms of<br />

the share sale and purchase agreements<br />

dated 1st June 2012. In a statement from<br />

Kuala Lumpur <strong>in</strong> Malaysia, Petronas noted<br />

that both PVL and TLLCL will be held<br />

by PDB follow<strong>in</strong>g the completion of the<br />

acquisition, via its newly <strong>in</strong>corporated and<br />

wholly-owned <strong>in</strong>vestment hold<strong>in</strong>g company,<br />

PDB (Netherlands) BV. “Follow<strong>in</strong>g this,<br />

PDB has completed the acquisition of all<br />

the six downstream companies <strong>in</strong> South<br />

East Asia”, said the Statement. As part of<br />

the company’s expansion strategy <strong>in</strong> South<br />

East Asia, PDB will undertake targeted<br />

<strong>in</strong>vestments to propel future growth for<br />

these newly acquired companies.<br />

Puma energy buys<br />

major <strong>in</strong>dependent<br />

In <strong>Australia</strong> Puma Energy plans to w<strong>in</strong><br />

local market share after buy<strong>in</strong>g up over<br />

120 <strong>fuel</strong> service stations hav<strong>in</strong>g bought<br />

Neumann <strong>Petroleum</strong>.<br />

Nepal allows private firms to import<br />

Nepal’s government is consider<strong>in</strong>g allow<strong>in</strong>g<br />

private companies to import crude oil<br />

products which would resolve chronic <strong>fuel</strong><br />

shortages and end the state’s monopoly on a<br />

trade worth about $ 1 billion a year, a trade<br />

m<strong>in</strong>istry official has said. Nepal buys all its<br />

<strong>fuel</strong> from abroad and state-run Nepal oil<br />

Corporation (NoC) is currently the sole<br />

importer of the 21 000 barrels per day of<br />

crude oil products the country needs. NoC,<br />

however, is plagued by <strong>in</strong>sufficient storage<br />

capacity, a poor transport network and difficulties<br />

<strong>in</strong> pay<strong>in</strong>g its sole supplier, Indian<br />

oil Corp, creat<strong>in</strong>g frequent <strong>fuel</strong> shortages<br />

and long queues at <strong>fuel</strong> stations. “We want<br />

to open up the <strong>fuel</strong> bus<strong>in</strong>ess to the private<br />

sector. Private firms will be able to import,<br />

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store and distribute <strong>fuel</strong>, oil and lubricants<br />

just like the NoC does”, said Lal Mani Joshi,<br />

the most Senior Bureaucrat at the M<strong>in</strong>istry<br />

of Commerce and Supplies and chairman of<br />

NoC’s board. A proposal to allow imports<br />

by the private sector has been submitted to<br />

the cab<strong>in</strong>et, Joshi said, add<strong>in</strong>g that it was not<br />

immediately clear when it would be approved.<br />

Nigeria imports <strong>fuel</strong> from the Niger<br />

The operations Controller at the Department<br />

of <strong>Petroleum</strong> Resources (DPR), Alhaji Syyadi<br />

Suleiman Abubakar, has said that Nigeria<br />

now imports diesel and petrol from Niger<br />

Republic, as his department closed 10 fill<strong>in</strong>g<br />

stations over an allegation of sell<strong>in</strong>g the product<br />

above the official retail price. Abubakar<br />

is look<strong>in</strong>g to ensure that long queues at <strong>fuel</strong><br />

stations disappear. Accord<strong>in</strong>g to him, the<br />

government has no f<strong>in</strong>ancial commitment<br />

on importation of diesel and gas from Niger<br />

Republic as the two products had already<br />

been deregulated. He also confirmed that<br />

about 80 percent of <strong>fuel</strong> stations were not<br />

gett<strong>in</strong>g petroleum products from the depot,<br />

due to scarcity.<br />

Conoil adds 60 <strong>fuel</strong> stations this year<br />

oil marketer, Conoil Plc, will <strong>in</strong> 2013 establish<br />

60 new retail outlets spread across Nigeria as<br />

part of its major strategic expansion programme.<br />

The expansion programme will<br />

foresee a 4.8 bil lion naira <strong>in</strong>vestment and<br />

it is aimed at grow<strong>in</strong>g the company’s sales<br />

and revenue by over 65 percent, accord<strong>in</strong>g<br />

to a statement. It is projected that the new<br />

stations will complement the company’s<br />

plan for massive importation of ref<strong>in</strong>ed<br />

petroleum products this year. The retail<br />

outlets, Conoil added, would offer robust<br />

and automated network, which would leverage<br />

on technology to deliver the assurance<br />

of quality products and improve service<br />

efficiency at the forecourts. The expansion<br />

project represents the second phase of the<br />

company’s comprehensive four-year plan<br />

which started two years ago.


eNI expand<strong>in</strong>g <strong>in</strong>to vietnam<br />

Italian energy company ENI announced it<br />

signed a memorandum of understand<strong>in</strong>g<br />

to explore potential bus<strong>in</strong>ess opportunities<br />

with state owned PetroVietnam. ENI<br />

Chief Executive officer Paolo Scaroni met<br />

with PetroVietnam President Do Van Hau<br />

<strong>in</strong> Rome for the sign<strong>in</strong>g of the MoU. The<br />

MoU gives PetroVietnam the chance to<br />

MFG adds 10 stations to network<br />

Top 50 Indies forecourt operator, Motor<br />

Fuel Group (MFG) has grown its network<br />

to 58 stations with the acquisition of 10<br />

stations from Shell. Jeremy Clarke, MFG’s<br />

Manag<strong>in</strong>g Director said: “This acquisition<br />

adds some high volume stations to our<br />

network. They all fit <strong>in</strong>to our model by<br />

offer<strong>in</strong>g customers a great forecourt and<br />

shop offer.” He cont<strong>in</strong>ued: “All of these<br />

expand its <strong>in</strong>ternational footpr<strong>in</strong>t while<br />

allow<strong>in</strong>g ENI to enter <strong>in</strong>to developments<br />

<strong>in</strong> Vietnam. The CIA World Fact Book<br />

estimates that Vietnam <strong>in</strong> 2011 produced<br />

318 000 barrels of oil and 300 billion cubic<br />

feet of gas per day. Scaroni added that the<br />

Vietnam company would ga<strong>in</strong> from tra<strong>in</strong><strong>in</strong>g<br />

opportunities from his company.<br />

new stations are now BP branded and<br />

after a shop refit they will be offer<strong>in</strong>g the<br />

extensive and competitive range of Costcutter<br />

products. “It’s good to end our first<br />

year of trad<strong>in</strong>g with some positive news.<br />

We will cont<strong>in</strong>ue to look at opportunities<br />

for growth dur<strong>in</strong>g 2013 while ma<strong>in</strong>ta<strong>in</strong><strong>in</strong>g<br />

our on-go<strong>in</strong>g <strong>in</strong>vestment on our forecourts<br />

and <strong>in</strong> our shops.”<br />

NIs opens <strong>in</strong> balkans under GAzProM Neft<br />

NIS (Naftna Industrija Srbije), a subsidiary<br />

of Gazprom Neft, opened its first <strong>fuel</strong><br />

station under the GAZPRoM brand <strong>in</strong><br />

Belgrade. A large-scale project to launch a<br />

new premium retail cha<strong>in</strong> of GAZPRoM<br />

<strong>fuel</strong> stations will <strong>in</strong> the future be extended<br />

to other countries <strong>in</strong> the Balkans. The<br />

retail development under the new brand is<br />

planned <strong>in</strong> Serbia, Bulgaria, Romania and<br />

Bosnia and Herzegov<strong>in</strong>a with the stations <strong>in</strong><br />

Bulgaria and Romania open<strong>in</strong>g shortly. By<br />

the end of 2013, the GAZPRoM network<br />

turkey – an expensive <strong>fuel</strong> hotspot<br />

Turkey is one of the world’s most expensive<br />

<strong>fuel</strong> hotspots despite the reductions <strong>in</strong> tax,<br />

F<strong>in</strong>ance M<strong>in</strong>ister Mehmet Şimşek has<br />

said. The high prices are determ<strong>in</strong>ed by<br />

free market conditions as direct or <strong>in</strong>direct<br />

state <strong>in</strong>tervention has been capped off. He<br />

said the state’s regulations like formation<br />

of ref<strong>in</strong>ery prices with an <strong>in</strong>dex, or sett<strong>in</strong>g<br />

will consist of approximately 100 <strong>fuel</strong> stations.<br />

NIS will manage GAZPRoM petrol<br />

stations <strong>in</strong> the Balkans.<br />

an upper limit for the shares of distributors<br />

and carriers, have been elim<strong>in</strong>ated <strong>in</strong><br />

addition to decreases <strong>in</strong> taxes. “Although<br />

<strong>fuel</strong> prices have <strong>in</strong>creased for years, the tax<br />

burden hasn’t, on the contrary it decreased<br />

for the last 10 years.” Most recently, the<br />

F<strong>in</strong>ance M<strong>in</strong>istry raised taxes on <strong>fuel</strong> oil,<br />

diesel <strong>fuel</strong> and LPG.<br />

latest news, events, jobs onl<strong>in</strong>e – www.PetrolPlaza.com<br />

News – eUroPe<br />

repsol compla<strong>in</strong>t upheld<br />

by world bank<br />

The World Bank’s arbitration body has<br />

begun <strong>in</strong>vestigations after accept<strong>in</strong>g a compla<strong>in</strong>t<br />

from Repsol regard<strong>in</strong>g Argent<strong>in</strong>a’s<br />

expropriation of its controll<strong>in</strong>g stake <strong>in</strong><br />

energy company YPF. Repsol’s compla<strong>in</strong>t<br />

– which follows the seizure of the company<br />

<strong>in</strong> May – could be one of the largest claims<br />

aga<strong>in</strong>st the country. Repsol has valued its<br />

51 percent stake <strong>in</strong> YPF at $ 10 billion.<br />

However, Argent<strong>in</strong>e officials have <strong>in</strong>dicated<br />

that they are not prepared to pay this, while<br />

the country’s Plann<strong>in</strong>g M<strong>in</strong>istry has formed<br />

a committee to determ<strong>in</strong>e the value for<br />

compensation purposes. Repsol and the<br />

Argent<strong>in</strong>e Government must each name an<br />

arbitrator to sit on a three-member panel<br />

that will oversee the case. The third member<br />

of the panel must be agreed by both sides.<br />

spa<strong>in</strong> and Ireland<br />

sign agreement<br />

Spa<strong>in</strong> and Ireland have both signed an<br />

agreement to ma<strong>in</strong>ta<strong>in</strong> oil reserves for<br />

‘petroleum emergencies’. Both countries<br />

have decided to jo<strong>in</strong> a European standard<br />

which states that countries must ma<strong>in</strong>ta<strong>in</strong><br />

m<strong>in</strong>imum reserves of crude. It also<br />

states how to handle such reserves and<br />

that periodic reports must be submitted<br />

to the European Commission on those<br />

levels. Both countries are also obliged to<br />

punish any company that do not comply<br />

with their obligations provided for <strong>in</strong> the<br />

legal framework. This agreement facilitates<br />

the free movement and treatment of oil<br />

between the two countries.<br />

HKs & bP agree new<br />

supply deal<br />

UK Independent retailer HKS has agreed<br />

to extend its long partnership with BP,<br />

sign<strong>in</strong>g a new supply deal with the oil<br />

major. The new deal will run for five years.<br />

7


News – MIDDLe eAst, AFrICA & AsIA<br />

8<br />

xxx<br />

xx<br />

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LUKoIL to expand network <strong>in</strong> turkey<br />

oAo LUKoIL of Russia is <strong>in</strong> exclusive talks<br />

with Full, a Turkish discount <strong>fuel</strong> retailer, to<br />

operate its <strong>fuel</strong> stations for 10 years, accord<strong>in</strong>g<br />

to Full CEo Timuc<strong>in</strong> Tali. Tali has said<br />

that currently Full’s stations are closed for<br />

LUKoIL <strong>in</strong>spections. Global energy compa-<br />

nies are seek<strong>in</strong>g expansion <strong>in</strong> Turkey where<br />

economic growth is forecast at 3.5 percent<br />

this year and about twice the pace of the most<br />

advanced economies to 2017. LUKoIL operates<br />

<strong>in</strong> the country through its Eurasia Petrol<br />

unit, which has more than 600 <strong>fuel</strong> stations<br />

across the country. The nation is <strong>in</strong>creas<strong>in</strong>gly<br />

becom<strong>in</strong>g an “energy hub” connect<strong>in</strong>g Europe<br />

with Asia, accord<strong>in</strong>g to the company’s website.<br />

LUKoIL is discuss<strong>in</strong>g f<strong>in</strong>ancial details of the<br />

deal with Full, which is owned by AR Sirketler<br />

Grubu’s Arista Hold<strong>in</strong>g. Under the agreement,<br />

LUKoIL Eurasia Petrol would rebrand Full’s<br />

54 stations under its own name.<br />

PKN orLeN and statoil sign agreement<br />

Polski Koncern Naftowy oRLEN S.A. have<br />

announced that the Management Board<br />

of AB oRLEN Lietuva signed a one-year<br />

agreement with Statoil Fuel & Retail Lietuva,<br />

UAB. The agreement was signed for the sale<br />

of gasol<strong>in</strong>e and diesel by oRLEN Lietuva to<br />

Statoil Fuel & Retail Lietuva for the period<br />

between 1st January 2013 and 31st December<br />

2013. The estimated net value of the agreement<br />

amounts to US $ 330 million. Agreements<br />

signed between PKN oRLEN and PKN<br />

oRLEN subsidiaries and companies from the<br />

Statoil Fuel & Retail group from February 2012<br />

to January 2013 amounted to approximately<br />

US $ 792 million. PKN oRLEN owns 100<br />

percent shares of oRLEN Lietuva.<br />

Trafigura supply<strong>in</strong>g <strong>fuel</strong> to Enemalta<br />

The <strong>fuel</strong> contract was a<strong>war</strong>ded to Trafigura <strong>in</strong><br />

December 2012 for the provision of between<br />

160 000 metric tonnes to 176 000 metric<br />

tonnes divided <strong>in</strong>to eight partial shipments<br />

with a contract period from the fourth week<br />

of January to the fourth week of June 2013.<br />

Trafigura provided not only the cheapest offer<br />

but fulfilled the criteria requested by the<br />

<strong>in</strong>vitation to tender relat<strong>in</strong>g to quality and<br />

quantity of the product, delivery periods, and<br />

other requirements such as <strong>in</strong>surance cover,<br />

jurisdiction of contract, and payment terms.<br />

repsol and Fiat jo<strong>in</strong> forces <strong>in</strong> LPG venture<br />

Fiat and Repsol have agreed to promote the sale<br />

of vehicles <strong>fuel</strong>ed with autogas (LPG automotive)<br />

and encourage the use of this alternative<br />

<strong>fuel</strong> <strong>in</strong> Spa<strong>in</strong>. Repsol leads Autogas distribution<br />

<strong>in</strong> the domestic market while the Italian brand<br />

offers the widest range of vehicles powered by<br />

LPG, a segment <strong>in</strong> which ranks first <strong>in</strong> sales <strong>in</strong><br />

Europe. The agreement was signed by the CEo<br />

of Fiat Group <strong>in</strong> Spa<strong>in</strong>,Luca Napolitano and<br />

the CEo of Repsol LPG, José Manuel Gallego.<br />

shell takes over Neste network <strong>in</strong> Poland<br />

Anglo-Dutch <strong>fuel</strong> giant Shell signed an<br />

agreement with Neste oil for the purchase<br />

of Neste’s <strong>fuel</strong> stations <strong>in</strong> Poland for EUR<br />

80 million, Neste oil has said at its website.<br />

The transaction is to be f<strong>in</strong>alized <strong>in</strong> the first<br />

half of 2013. Neste has 105 fill<strong>in</strong>g stations <strong>in</strong><br />

Poland & Neste Polska generated 250 million<br />

euros sales <strong>in</strong> 2011. Fuel groups PKN orlen<br />

and Lotos were also <strong>in</strong>terested <strong>in</strong> purchas<strong>in</strong>g Neste’s Polish <strong>fuel</strong> cha<strong>in</strong>.<br />

oMv sells market<strong>in</strong>g subsidiary <strong>in</strong> Croatia<br />

oMV Hrvatska is a 100 percent-owned<br />

subsidi ary of oMV Ref<strong>in</strong><strong>in</strong>g & Market<strong>in</strong>g<br />

GmbH em -ploy <strong>in</strong>g 63 staff members at its<br />

head office <strong>in</strong> Zagreb, has 62 fill<strong>in</strong>g stations<br />

and a market share of around 13 percent <strong>in</strong><br />

Croatia. Follow<strong>in</strong>g the completion of this<br />

transaction, which is subject to approval<br />

by competition authorities, oMV will have<br />

no further ref<strong>in</strong><strong>in</strong>g and market<strong>in</strong>g activities<br />

<strong>in</strong> Croatia.<br />

latest news, events, jobs onl<strong>in</strong>e – www.PetrolPlaza.com<br />

News – eUroPe<br />

9


News – eUroPe<br />

10<br />

bP says oil will rema<strong>in</strong> k<strong>in</strong>g to 2030<br />

British oil giant BP expects unconventional<br />

sources of crude and other <strong>fuel</strong>s to supply a<br />

larger amount of the world’s energy needs<br />

over the next 20 years and oil will rema<strong>in</strong><br />

the primary <strong>fuel</strong> for transportation. As far as<br />

overall energy consumption, BP believes oil<br />

will decl<strong>in</strong>e over the next two decades, while<br />

gas and coal will rise. The company made the<br />

predictions as it released its updated 2030<br />

energy outlook. It is the third year <strong>in</strong> which<br />

the company has released the expectations<br />

publicly. “This outlook is a projection, not a<br />

proposition”, Chief Executive Bob Dudley<br />

declared dur<strong>in</strong>g a presentation from London<br />

that was carried over the Internet. BP, Royal<br />

Dutch Shell and Exxon Mobil are among the<br />

companies that each year publish outlooks<br />

that forecast the future of the energy sector.<br />

The goal: To figure out what the world will<br />

look like <strong>in</strong> the future so they can make the<br />

most profitable exploration and production<br />

decisions today. By releas<strong>in</strong>g their conclusions<br />

publicly, these companies also spark<br />

an annual conversation about the world’s<br />

energy needs.<br />

BP’s updated projections <strong>in</strong>clude: Energy<br />

demand is expected to be 36 percent higher<br />

<strong>in</strong> 2030 than 2011, with almost all the<br />

growth com<strong>in</strong>g from emerg<strong>in</strong>g economies.<br />

Grow<strong>in</strong>g production from unconventional<br />

sources of oil – tight oil, oil sands and<br />

bio<strong>fuel</strong>s – is expected to provide all of the<br />

net growth <strong>in</strong> global oil supply to 2020<br />

and over 70 percent of growth to 2030. By<br />

2030, <strong>in</strong>creas<strong>in</strong>g production and moderat-<br />

LAtest News, eveNts, Jobs oNLINe – www.PetroLPLAzA.CoM<br />

<strong>in</strong>g demand will result <strong>in</strong> the U.S. be<strong>in</strong>g<br />

99 percent self-sufficient <strong>in</strong> net energy; <strong>in</strong><br />

2005 it was only 70 percent. The U.S. will<br />

rema<strong>in</strong> a small net importer of oil, although<br />

net imports will decl<strong>in</strong>e by about 70 percent.<br />

Major emerg<strong>in</strong>g economies such as Ch<strong>in</strong>a<br />

and India will become <strong>in</strong>creas<strong>in</strong>gly reliant<br />

on energy imports. These shifts will have<br />

major impacts on trade balances. Russia will<br />

rema<strong>in</strong> the world’s largest energy exporter,<br />

with <strong>in</strong>creases <strong>in</strong> exports of all fossil <strong>fuel</strong>s.<br />

By 2030, Saudi Arabia will be the world’s<br />

largest oil exporter, although the trajectory<br />

over time will be impacted by the likelihood<br />

of oPEC production cuts. “Fears of oil<br />

runn<strong>in</strong>g out, to which we never subscribed,<br />

appear <strong>in</strong>creas<strong>in</strong>gly groundless”, Dudley<br />

said. At London-based BP, a 10-member<br />

team works year round on the company’s<br />

energy projections, which <strong>in</strong>clude assumptions<br />

on changes <strong>in</strong> policy, technology and<br />

the economy. Internal and external experts<br />

are consulted, public and private data and<br />

reports are reviewed and exist<strong>in</strong>g regulations<br />

and how they may change <strong>in</strong> the future are<br />

considered.<br />

More focus on It Managers at erpec 13<br />

With technology on a typical <strong>fuel</strong> station<br />

becom<strong>in</strong>g ever more sophisticated and<br />

with dispenser manufacturers focus<strong>in</strong>g as<br />

much time on sell<strong>in</strong>g soft<strong>war</strong>e systems as<br />

they are sell<strong>in</strong>g pumps, the IT Manager <strong>in</strong><br />

oil company retail operations, is becom<strong>in</strong>g<br />

one of the most important members of the<br />

eng<strong>in</strong>eer<strong>in</strong>g team.<br />

At a recent <strong>in</strong>dustry trade fair, VP Global<br />

Strategic Accounts and Global Market<strong>in</strong>g<br />

at Wayne, Brad Schumacher, po<strong>in</strong>ted out<br />

that IT executives now play a major role <strong>in</strong><br />

the development of effective retail soft<strong>war</strong>e<br />

solutions on the forecourt. He added that<br />

at major <strong>in</strong>dustry gather<strong>in</strong>gs it is becom<strong>in</strong>g<br />

more and more important for IT personnel<br />

to be <strong>in</strong> attendance alongside technical and<br />

procurement executives, a po<strong>in</strong>t not lost by<br />

Nick Needs, organiser of erpec, who has<br />

extended <strong>in</strong>vitations for next year’s event to<br />

<strong>in</strong>clude IT departments from all the major<br />

oil companies.<br />

Comment<strong>in</strong>g on this he said: “We have<br />

had some good response to this <strong>in</strong>itiative<br />

from a number of oil companies attend<strong>in</strong>g<br />

and have been delighted to receive our first<br />

registrations from IT related people, <strong>in</strong> this<br />

<strong>in</strong>stance com<strong>in</strong>g from the MoL Group <strong>in</strong><br />

Hungary, nom<strong>in</strong>at<strong>in</strong>g its Head of Global<br />

Industrial IT Solutions Development and<br />

its Thematic Leader of Global Retail / Card<br />

Application Development, as part of its five<br />

man delegation team”.<br />

Places are still available at erpec 13 for oil<br />

companies, major retailers and <strong>in</strong>ternational<br />

suppliers of retail petroleum equipment. Tak<strong>in</strong>g<br />

place <strong>in</strong> Nice, France from 16 – 18 April 2013.<br />

More details can be found at www.erpec.com


Family firm has big growth plan<br />

Maxol is stepp<strong>in</strong>g up expansion <strong>in</strong> post-boom<br />

Ireland – pick<strong>in</strong>g potential sites carefully and<br />

provid<strong>in</strong>g much-needed jobs to these localities.<br />

It’s fair to say that Maxol does not fit<br />

the stereotypical image of ‘big oil’. Some 90<br />

years after it was founded by the McMullan<br />

family, the bus<strong>in</strong>ess is still a far cry from the<br />

‘Dallas’ image and its Chief Executive, Tom<br />

Noonan, is about as far away from JR Ew<strong>in</strong>g<br />

as you can get. Maxol has been someth<strong>in</strong>g of<br />

an anomaly <strong>in</strong> Irish <strong>in</strong>dustry <strong>in</strong> recent years.<br />

While it seemed for a while that every bus<strong>in</strong>ess<br />

was expand<strong>in</strong>g rapidly and was report<strong>in</strong>g<br />

turbocharged profits, Maxol was potter<strong>in</strong>g<br />

along at a steady pace, but was hardly sett<strong>in</strong>g<br />

the world on fire. Cut to today and many of<br />

those turbocharged profits have disappeared<br />

as quickly as they appeared, but Maxol is still<br />

carry<strong>in</strong>g on as it always has. Under Noonan,<br />

there are now about 225 Maxol service stations<br />

around the island. With turnover of close<br />

to 650 million euros a year, the bus<strong>in</strong>ess is<br />

grow<strong>in</strong>g steadily but is now plann<strong>in</strong>g a huge<br />

expansion.<br />

bP and rosneft plan tNK <strong>in</strong>tegration<br />

The news followed talks between BP Chief<br />

Bob Dudley and Rosneft president Igor Sech<strong>in</strong><br />

<strong>in</strong> Moscow who met for only the second time<br />

s<strong>in</strong>ce late october, when the pair agreed a<br />

$ 27 billion (£ 17 billion) deal that would see<br />

BP sell its half of the venture. BP has taken<br />

a near-20pc stake <strong>in</strong> Rosneft as part of the<br />

deal and has told its shareholders it believes it<br />

can help to drive synergies and boost returns.<br />

Rosneft has also agreed to buy the other half<br />

of TNK-BP from BP’s oligarch partners, the<br />

Low quality <strong>fuel</strong> <strong>in</strong> bulgaria shr<strong>in</strong>ks<br />

The share of low quality <strong>fuel</strong> on the Bulgarian<br />

market has decreased five-fold over the past<br />

four years, accord<strong>in</strong>g to Petar Kostad<strong>in</strong>ov<br />

from the State Agency for Metrology and<br />

Technical Surveillance (SAMTS). Kostad<strong>in</strong>ov<br />

expla<strong>in</strong>ed that the share of poor quality <strong>fuel</strong><br />

on the Bulgarian market amounted to slightly<br />

over 3 percent <strong>in</strong> 2012. The SAMTS Chief<br />

Secretary, as cited by Darik radio, made clear<br />

that offenders used a range of components to<br />

dilute <strong>fuel</strong>, thereby lower<strong>in</strong>g its quality. Kostad<strong>in</strong>ov<br />

specified that the share of low quality<br />

Alfa-Access-Renova consortium, with both<br />

deals expected to complete <strong>in</strong> the first half<br />

of this year. Mr Sech<strong>in</strong> will chair the steer<strong>in</strong>g<br />

committee co-ord<strong>in</strong>at<strong>in</strong>g the <strong>in</strong>tegration of<br />

TNK-BP’s assets. In a statement, BP and Rosneft<br />

said they had “confirmed their commitment<br />

to efficient <strong>in</strong>tegration of the companies and<br />

agreed that the process is a unique opportunity<br />

to br<strong>in</strong>g many of the world’s best bus<strong>in</strong>ess<br />

and technical practices <strong>in</strong>to the comb<strong>in</strong>ed<br />

company <strong>in</strong> a short time frame”.<br />

<strong>fuel</strong> had only registered slight decreases by<br />

2009. He noted that it had taken other EU<br />

member states 4–5 years to curb the share of<br />

substandard <strong>fuel</strong> after the imposition of strict<br />

control, while the process <strong>in</strong> Bulgaria had<br />

necessitated 6–7 years. The expert argued<br />

that the share of 3.4 percent of poor quality<br />

<strong>fuel</strong> <strong>in</strong> 2013 placed Bulgaria at a good level<br />

around the EU average. He underscored that<br />

Bulgaria had reached a good score <strong>in</strong> curb<strong>in</strong>g<br />

sales of poor quality <strong>fuel</strong> on the tenth year<br />

after impos<strong>in</strong>g str<strong>in</strong>gent control.<br />

latest news, events, jobs onl<strong>in</strong>e – www.PetrolPlaza.com<br />

News – eUroPe<br />

PKN takes writedown<br />

on Unipetrol<br />

PKN orlen has written down the value<br />

of its Czech ref<strong>in</strong><strong>in</strong>g arm Unipetrol, a<br />

move that pushed the company <strong>in</strong>to a<br />

quarterly loss of US $ 227 million. PKN<br />

has a 63 percent share <strong>in</strong> Unipetrol and<br />

recorded a US $ 236 million impairment on<br />

the hold<strong>in</strong>g. Unipetrol’s Head of Investor<br />

Relations, Michal Stupavsky, said Uni -<br />

petrol may be sell<strong>in</strong>g assets <strong>in</strong> the near<br />

future, <strong>in</strong>clud<strong>in</strong>g the Paramo unit, which<br />

ended process<strong>in</strong>g of crude last year. “The<br />

sale is very likely <strong>in</strong> the foreseeable future”,<br />

he said, decl<strong>in</strong><strong>in</strong>g to comment on a possible<br />

buyer for the bus<strong>in</strong>ess.<br />

totAL ref<strong>in</strong>ery to<br />

restructure<br />

ToTAL’s L<strong>in</strong>dsey oil Ref<strong>in</strong>ery <strong>in</strong> the UK is<br />

set to become a separate company as part<br />

of a restructur<strong>in</strong>g process to create 24 new<br />

jobs at the site. ToTAL LoR will become<br />

a separate company from Spr<strong>in</strong>g 2013,<br />

assum<strong>in</strong>g day-to-day control of ToTAL’s<br />

ref<strong>in</strong><strong>in</strong>g bus<strong>in</strong>ess, storage term<strong>in</strong>als and<br />

logistics <strong>in</strong>frastructure <strong>in</strong> Brita<strong>in</strong>. ToTAL<br />

has <strong>in</strong>vested more than £ 600 million <strong>in</strong><br />

the 220 000 barrel per day plant <strong>in</strong> recent<br />

years. The site returned to profit <strong>in</strong> autumn<br />

of 2012. The <strong>in</strong>dependent company will<br />

<strong>in</strong>corporate L<strong>in</strong>dsey’s 1 000 strong team of<br />

employees and contractors, along with the<br />

employees and management operations at<br />

term<strong>in</strong>als across the UK.<br />

11


News – eUroPe<br />

12<br />

French <strong>fuel</strong> consumption<br />

decreases <strong>in</strong> 2012<br />

Accord<strong>in</strong>g to the latest figures from the<br />

Professional Committee of oil (PDCC),<br />

deliveries of <strong>fuel</strong> on the French market<br />

totalled 3.91 million cubic meters <strong>in</strong><br />

December 2012 (-2 percent compared to<br />

December 2011). This decrease resulted<br />

from a decrease of 11.4 percent deliveries<br />

super<strong>fuel</strong>s SP and a decrease of 5 percent<br />

of deliveries. The general decl<strong>in</strong>e seems<br />

to result from both improved energy<br />

performance of vehicles and consumer<br />

rejection of high price <strong>fuel</strong>.<br />

Fuel giant PKN orlen<br />

pushes up prices<br />

Polish oil ref<strong>in</strong>er and petrol retailer PKN<br />

orlen has raised its wholesale prices of<br />

unleaded petrol and diesel. Accord<strong>in</strong>g to<br />

a statement released by the company <strong>in</strong><br />

Plock, Central Poland, wholesale prices for<br />

its Superplus 98 and diesel <strong>fuel</strong> will rise.<br />

Fuel stations will adjust the ultimate retail<br />

price, with costs unlikely to go beyond<br />

an <strong>in</strong>crease of 0.002 euro per litre. The<br />

current rise marks the eighth hike <strong>in</strong> <strong>fuel</strong><br />

prices <strong>in</strong> a year. PKN orlen, which also<br />

operates <strong>in</strong> the Czech Republic, Germany<br />

and across the Baltic states, is among the<br />

largest oil companies <strong>in</strong> Europe.<br />

shaws <strong>Petroleum</strong><br />

agrees sale<br />

Shaws <strong>Petroleum</strong> UK is to be swallowed<br />

up by Midlands Co-operative Society<br />

after the company’s Manag<strong>in</strong>g Director,<br />

Paul Sykes, agreed to sell his company<br />

for an undisclosed amount. Sykes, who<br />

has led the company for 35 years, saw<br />

his company record a £ 30.5 million<br />

profit last year, £ 22.2 million of which<br />

came from <strong>fuel</strong> sales. The company has<br />

five <strong>fuel</strong> service stations actively trad<strong>in</strong>g<br />

at present.<br />

topaz <strong>in</strong>vests to<br />

secure jobs<br />

Topaz Energy, Ireland’s largest <strong>fuel</strong> and<br />

convenience retailer, has <strong>in</strong>vested €1.35 million<br />

euro <strong>in</strong> five <strong>fuel</strong> service stations to<br />

secure 82 jobs, prevent<strong>in</strong>g the closure of<br />

the sites, br<strong>in</strong>g<strong>in</strong>g the company’s workforce<br />

up to over 1 600 people. Topaz has<br />

cont<strong>in</strong>ued to grow its bus<strong>in</strong>ess despite<br />

challeng<strong>in</strong>g local market conditions. The<br />

company’s turnover has reached 3 billion<br />

euro, with 1.8 million euro transactions<br />

tak<strong>in</strong>g place every month across a network<br />

of 328 <strong>fuel</strong> service stations.<br />

DCC w<strong>in</strong>s approval for acquisition<br />

DCC PLC has announced that the UK office<br />

of Fair Trad<strong>in</strong>g (oFT) has formally cleared the<br />

company’s acquisition of BP’s LPG bus<strong>in</strong>ess<br />

<strong>in</strong> Brita<strong>in</strong>. The acquisition was completed <strong>in</strong><br />

late September 2012. DCC had undertaken<br />

LAtest News, eveNts, Jobs oNLINe – www.PetroLPLAzA.CoM<br />

to hold the BP LPG bus<strong>in</strong>ess separately from<br />

its Flogas brand pend<strong>in</strong>g approval. Follow<strong>in</strong>g<br />

the oFT’s decision to approve the transaction,<br />

DCC said, it is now free to <strong>in</strong>tegrate BP’s LPG<br />

distribution bus<strong>in</strong>ess with Flogas.<br />

Phillips 66 announces new dealer services<br />

In the UK Phillips 66 has <strong>in</strong>troduced two new<br />

<strong>in</strong>itiatives aimed at <strong>in</strong>creas<strong>in</strong>g the profitability<br />

of dealers under their Jet brand. The firm is<br />

partner<strong>in</strong>g with lead<strong>in</strong>g equipment suppliers<br />

Tokheim and Istobal to add the new services.<br />

Tokheim is fulfill<strong>in</strong>g a dispenser ma<strong>in</strong>tenance<br />

contract, respond<strong>in</strong>g to research carried out<br />

by Phillips 66 <strong>in</strong>to the pump ma<strong>in</strong>tenance<br />

requirements of a cross-section of its Jet<br />

dealers. Istobal, meanwhile, if offer<strong>in</strong>g a free<br />

health check for the car washes, jet washes,<br />

air mach<strong>in</strong>es and vacuums at Jet sites. “We<br />

pride ourselves on cont<strong>in</strong>ually meet<strong>in</strong>g and<br />

listen<strong>in</strong>g to our dealers. At the heart of any<br />

dealers’ bus<strong>in</strong>ess are the <strong>fuel</strong> pumps. Without<br />

them operat<strong>in</strong>g to their full ability, customers<br />

are simply unable to buy <strong>fuel</strong> and are unlikely<br />

to return, due to their perception that ‘Jet<br />

pumps don’t work”, expla<strong>in</strong>ed Sharon Morrow,<br />

Brand and Communications Co-ord<strong>in</strong>ator at<br />

Jet. “It’s vital for us to learn and understand<br />

dealers’ requirements, to enable them to be<br />

able to excel <strong>in</strong> their operations. We believe<br />

our new pump ma<strong>in</strong>tenance contract will<br />

improve not only service to our dealers, but<br />

also the service they offer to their customers.”<br />

First motorway stations <strong>in</strong> Northern Ireland<br />

Plann<strong>in</strong>g permission has been granted to<br />

build Northern Ireland’s first motorway<br />

<strong>fuel</strong> stations. For the first time, Northern<br />

Ireland commuters will not have to exit the<br />

motorway <strong>in</strong> search of <strong>fuel</strong>. The four proposed<br />

stations will <strong>in</strong>clude direct slip roads from<br />

the motorways <strong>in</strong> both directions, giv<strong>in</strong>g<br />

what the operators hope will be quick and<br />

easy access for drivers. Their development<br />

will provide a significant boost to the local<br />

economy, with a potential <strong>in</strong>vestment of some<br />

£ 20 million. The construction will be done<br />

<strong>in</strong> phases, allow<strong>in</strong>g the <strong>fuel</strong> stations to open<br />

before the other facilities. The development<br />

has already been recommended for approval<br />

by DoE Plann<strong>in</strong>g.<br />

supermarket <strong>fuel</strong> ‘puts 1 000 <strong>in</strong>dependents at risk’<br />

In the UK up to 1 000 <strong>in</strong>dependent forecourts<br />

could be “wiped out” by 2017 as they lose customers<br />

to new supermarket <strong>fuel</strong> stations, the<br />

Petrol Retailers’ Association (PRA) has <strong>war</strong>ned.<br />

An average of 40 supermarket forecourts a year<br />

have been granted plann<strong>in</strong>g permission s<strong>in</strong>ce<br />

2009, a study by Christie & Co on behalf of<br />

the trade body has found. Steve Rodell, head<br />

of retail at Christie & Co, said: “If applications<br />

cont<strong>in</strong>ue at the same rate and there is<br />

no reason to believe that will not be the case,<br />

there will be another 160 supermarket sites<br />

soCAr rebrands esso stations<br />

The State oil Company of Azerbaijan (SoCAR)<br />

has began the re-brand<strong>in</strong>g and re-development<br />

of its network of Esso <strong>fuel</strong> stations acquired<br />

by the end of 2016.” Supermarkets seek<strong>in</strong>g<br />

to establish more “standalone” forecourt sites<br />

could result <strong>in</strong> the open<strong>in</strong>g of a further 25 to<br />

40 new <strong>fuel</strong> stations operated by the retail<br />

giants each year, the PRA said. It claimed<br />

that “every new supermarket site is suck<strong>in</strong>g<br />

the equivalent volume of five <strong>in</strong>dependents<br />

out of the market”. Brian Madderson, PRA<br />

Chairman, added: “If left unchecked the<br />

expected growth <strong>in</strong> supermarket forecourts<br />

would kill off 1 000 <strong>in</strong>dependents over the<br />

next four years.”<br />

from ExxonMobil Esso Switzerland GmbH.<br />

SoCAR Energy Switzerland’s General Director<br />

Edgar Bachmann has stated that before the<br />

2nd half of next year the 160 Esso petrol stations<br />

will operate under brand SoCAR flame.<br />

SoCAR believe their ‘flame’ logo is a highly<br />

visible symbol of the best service <strong>in</strong> the retail<br />

and energy bus<strong>in</strong>ess. They want to provide<br />

the widest distribution of this new premium<br />

brand <strong>in</strong> Switzerland, requir<strong>in</strong>g high-quality,<br />

exceptional customer service, high standards<br />

of safety and good government.


latest news, events, jobs onl<strong>in</strong>e – www.PetrolPlaza.com<br />

13


ProDUCt News<br />

14<br />

retalix shareholders<br />

approve NCr buy-out<br />

Shareholders <strong>in</strong> Retalix, a provider of soft<strong>war</strong>e<br />

and services for <strong>fuel</strong> retailers, have<br />

approved a takeover of the company by<br />

NCR Corporation. The transaction rema<strong>in</strong>s<br />

subject to regulatory approval and certa<strong>in</strong><br />

other clos<strong>in</strong>g conditions, while at least 30<br />

days must pass before it becomes effective<br />

under Israeli law. The Takeover is expected<br />

to be completed dur<strong>in</strong>g the first quarter of<br />

this year. The company serves a customer<br />

base of approximately 70 000 stores across<br />

more than 50 countries from its headquarters<br />

<strong>in</strong> Ra’anana, Israel and its North<br />

America headquarters <strong>in</strong> Plano, Texas.<br />

w<strong>in</strong>cor Nixdorf enters<br />

mobile wallet space<br />

W<strong>in</strong>cor Nixdorf Inc., a lead<strong>in</strong>g provider<br />

of IT solutions and services to retailers<br />

and retail banks, is roll<strong>in</strong>g out the W<strong>in</strong>cor<br />

Wallet for mobile cashless payments <strong>in</strong><br />

all retail sales channels, <strong>in</strong>clud<strong>in</strong>g <strong>fuel</strong><br />

stations, turn<strong>in</strong>g the smart-phone <strong>in</strong>to a<br />

wallet.Whether <strong>in</strong> stationary retail, web<br />

shops or mobile stores, the W<strong>in</strong>cor Wallet<br />

can be accessed for mobile payment by all<br />

standard smart-phones through the use of<br />

QR codes or near-field communication<br />

(NFC) technology. The W<strong>in</strong>cor Nixdorf’s<br />

Payment Gateway server operat<strong>in</strong>g <strong>in</strong> the<br />

background enables the solution. In addition<br />

to process<strong>in</strong>g traditional, card-based<br />

payments, this also allows modern Wallet<br />

transactions to be processed <strong>in</strong> an IT environment<br />

certified by the Payment Card<br />

Industry (PCI), which ensures the security<br />

of the cashless transactions. The W<strong>in</strong>cor<br />

Wallet provides a platform for comb<strong>in</strong><strong>in</strong>g<br />

different mobile payment and loyalty solutions<br />

such as mobile use of debit or credit<br />

cards, mobile coupons or redeem<strong>in</strong>g mobile<br />

vouchers at the checkout via smart-phone,<br />

the company said.<br />

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

KPs opens new subsidiary <strong>in</strong> turkey<br />

Kungsörs Plast AB, the supplier of the KPS<br />

Petrol Pipe System, announced that a subsidiary<br />

opens <strong>in</strong> Turkey with Mr Ali Güler<br />

as Regional Sales Manager, work<strong>in</strong>g out of<br />

Istanbul. Staffan Helleday, Sales Director<br />

KPS HQ and Ali Güler, Regional Sales<br />

Manager KPS Turkey. Mr Güler will further<br />

strengthen the customer support and<br />

service offer <strong>in</strong> Turkey and he will cont<strong>in</strong>ue<br />

the tra<strong>in</strong><strong>in</strong>g system and <strong>in</strong>troduce the KPS<br />

Petrol Pipe System conductive system all<br />

LAtest News, eveNts, Jobs oNLINe – www.PetroLPLAzA.CoM<br />

over the country. Staffan Helleday, Sales<br />

Director of KPS said: “KPS welcomes this<br />

progress and we are very positive to<strong>war</strong>ds the<br />

expansion <strong>in</strong> Turkey and we are accelerat<strong>in</strong>g<br />

our activities further by sett<strong>in</strong>g up a local<br />

sales subsidiary and <strong>war</strong>ehouse to serve our<br />

customers <strong>in</strong> Turkey better.” We <strong>in</strong>vite you<br />

to come and meet KPS Turkey at <strong>Petroleum</strong><br />

Istanbul Exhibition between the 11th and<br />

14th of April 2013. Welcome to our booth<br />

<strong>in</strong> Hall 8, at Petrol Expo.<br />

New tokheim Italy website is onl<strong>in</strong>e<br />

Tokheim, one of the world’s largest suppliers of<br />

<strong>fuel</strong> retail<strong>in</strong>g solutions, announces the launch<br />

of its new Italian website as part of its global<br />

rebrand<strong>in</strong>g strategy. The new Italian website<br />

gives an overview of all products and services<br />

relat<strong>in</strong>g to the local marketplace. News that<br />

is relevant to the Italian <strong>fuel</strong> retail<strong>in</strong>g sector<br />

will be regularly updated. A new set of additional<br />

sales material for all of Tokheim Italy’s<br />

NUPIGeCo PP-rCt NIroN system<br />

NUPIGECo has obta<strong>in</strong>ed its first certificate of<br />

conformity IIP for its NIRoN pip<strong>in</strong>g produced<br />

with PP-RCT raw material. PP-RCT is a new<br />

generation of polypropylene, already <strong>in</strong>cluded<br />

<strong>in</strong> EN ISo 15874 standard. It represents the<br />

evolution of Polypropylene Random with better<br />

performance than its predecessor PPR80.<br />

Furthermore, with the same outside diameter,<br />

the flow rate of the fluid is higher. PP-RCT<br />

allows for a more str<strong>in</strong>gent classification, per-<br />

products and services is now also available to<br />

download. Fabiano Clerico, General Manager<br />

Italy, says, “Tokheim is the largest supplier<br />

of solutions to the <strong>fuel</strong> retail sector <strong>in</strong> Italy.<br />

It is important that we are able to share the<br />

excit<strong>in</strong>g range of products and services we<br />

offer <strong>in</strong> a clear and <strong>in</strong>novative manner. our<br />

customers have moved more to<strong>war</strong>ds digital<br />

communications and we are happy to communicate<br />

with them <strong>in</strong> a more modern way.<br />

We will cont<strong>in</strong>ue to engage with customers<br />

through our social media platforms.” Tokheim’s<br />

website was recently nom<strong>in</strong>ated for a CSS<br />

Design A<strong>war</strong>d and it is now available <strong>in</strong> Italian,<br />

English and French. Additional country<br />

specific sites will go live <strong>in</strong> the com<strong>in</strong>g months.<br />

To visit the Italian website directly, go to<br />

www.tokheim.com/it.<br />

mitt<strong>in</strong>g it to reach class 5 of the EN ISo 15874<br />

standard (performance at high temperatures)<br />

before reserved only for PEX and PB. The high<br />

performance ability of the material allows it to<br />

achieve the same performance as PPR80 by<br />

reduc<strong>in</strong>g the wall thickness and <strong>in</strong>creas<strong>in</strong>g the<br />

flow rate of the fluid. NUPIGECo S.p.A - Via<br />

Stefano Ferrario Z.I. Sud-ovest - 21052 Busto<br />

Arsizio (VA) Italy - tel.: +39.0331.344211 - fax:<br />

+39.0331.351860 www.nupigeco.com


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

Codax helps shell control car wash sales<br />

PSD Codax is help<strong>in</strong>g retail giant Shell<br />

strengthen control of car wash sales at its<br />

UK forecourts. New Codax Code Generator<br />

technology is be<strong>in</strong>g <strong>in</strong>tegrated with po<strong>in</strong>t of<br />

sale (PoS) systems at more than 150 Shell<br />

UK forecourt sites follow<strong>in</strong>g a deal with PoS<br />

IT support company W<strong>in</strong>cor-Nixdorf. L<strong>in</strong>k<strong>in</strong>g<br />

Codax technology with its PoS systems will<br />

enable Shell head office to gather accurate<br />

data about car wash sales and customer<br />

buy<strong>in</strong>g habits. It will also help retailers<br />

improve revenue control and simplify the<br />

sales process for shop staff who will be able<br />

to sell washes direct from their PoS screen.<br />

A s<strong>in</strong>gle Codax Code Generator Term<strong>in</strong>al<br />

(CCGT), which has ethernet connectivity,<br />

elim<strong>in</strong>ates the need for under-counter wir<strong>in</strong>g<br />

and multiple Codax ticket pr<strong>in</strong>ter term<strong>in</strong>als.<br />

The CCGT plugs directly <strong>in</strong>to the <strong>in</strong>-store<br />

network so that all PoS term<strong>in</strong>als can be<br />

used to sell car wash and jet wash programmes<br />

and customer access code tickets are then<br />

pr<strong>in</strong>ted by the local PoS retail pr<strong>in</strong>ter. Car<br />

wash codes are issued only after a sale has<br />

been completed which stops unauthorised<br />

issues and speeds up the sales process and<br />

greatly improves the daily reconciliation<br />

process for station managers.<br />

relaunch of Hectronic company website<br />

Hectronic is proud to <strong>in</strong>troduce its redesigned<br />

website. The comparison between the old<br />

website, on the left hand side and the new<br />

version, on the right is shown below. There<br />

have been significant renewals, especially<br />

with regard to the Hectronic image change<br />

from a product manufacturer to a solution<br />

provider. Hectronic’s updated website has<br />

a new “Solutions” area where you can f<strong>in</strong>d<br />

<strong>in</strong>telligent and perfectly coord<strong>in</strong>ated system<br />

solutions for <strong>fuel</strong> station management. Furthermore<br />

the new design of the site is matched<br />

to Hectronic’s Corporate Design. Visitors can<br />

access the three ma<strong>in</strong> areas directly from the<br />

home page: Park<strong>in</strong>g, Re<strong>fuel</strong>l<strong>in</strong>g and Sensor<br />

Systems. The redesigned website gives users<br />

a quick and structured overview about the<br />

entire Hectronic portfolio.<br />

washtec strengthens activities at the truckwash<br />

WashTec, a lead<strong>in</strong>g manufacturer of vehicle<br />

wash systems, has big plans for 2013 and<br />

puts specifically the clean<strong>in</strong>g and ma<strong>in</strong>tenance<br />

of busses and trucks <strong>in</strong> the focus of<br />

its activities. New product manager for the<br />

bus and truck wash division Hans-Peter Popp<br />

has announced the roll-out of a number of<br />

different products for the new commercial<br />

l<strong>in</strong>e MaxiWash. Prior to jo<strong>in</strong><strong>in</strong>g WashTec<br />

<strong>in</strong> 2006, Popp worked for many years as a<br />

product manager <strong>in</strong> the commercial vehicle<br />

sector.<br />

Frankl<strong>in</strong> appo<strong>in</strong>ts southern African Master Distributors<br />

Southern African Master Distributors has<br />

been appo<strong>in</strong>ted as an official distributor of<br />

UPP pip<strong>in</strong>g and conta<strong>in</strong>ment systems for<br />

Frankl<strong>in</strong> Fuel<strong>in</strong>g Systems, the companies have<br />

announced. “With effect from 21st January<br />

2013, Southern African Master Distributors<br />

will undertake the Southern African distribution<br />

of Frankl<strong>in</strong> Fuel<strong>in</strong>g Systems Pip<strong>in</strong>g<br />

& Conta<strong>in</strong>ment, featur<strong>in</strong>g UPP semi-rigid<br />

pipework, Gem<strong>in</strong>i secondary conta<strong>in</strong>ment<br />

and electro-fusion conta<strong>in</strong>ment systems”,<br />

said a Frankl<strong>in</strong> statement. “The transition to<br />

this new distribution structure is a focused<br />

strategy on the part of Frankl<strong>in</strong> Fuel<strong>in</strong>g<br />

Systems to align the core competencies of<br />

our exist<strong>in</strong>g distributor networks with the<br />

<strong>in</strong>herent requirements of specific product<br />

brands. The new distribution structure is<br />

<strong>in</strong>tended to impart logistical efficiencies to<br />

the market, foster a competitive customer<br />

service environment, and <strong>in</strong>crease po<strong>in</strong>ts<br />

of supply and availability to all customers,<br />

<strong>in</strong>clud<strong>in</strong>g Major oil’s and Installation<br />

Companies.” Accord<strong>in</strong>g to the company, the<br />

need for a resilient supply channel able to<br />

offer products that underwrite the Health,<br />

Safety and Environmental (HSE) expectations<br />

associated with the UPP brand was a<br />

key driver of the decision to name a specialist<br />

distributor for the market. “Southern African<br />

Master Distributors (SAMD) is also able to<br />

offer cont<strong>in</strong>u<strong>in</strong>g professional development<br />

tra<strong>in</strong><strong>in</strong>g on UPP brand products to <strong>in</strong>stallers<br />

with<strong>in</strong> Southern Africa”, Frankl<strong>in</strong> noted.<br />

“The addition of the well-known quality UPP<br />

brand to SAMD’s product l<strong>in</strong>e is another<br />

step <strong>in</strong> position<strong>in</strong>g Southern African Master<br />

Distributors as the broad-based supplier of<br />

choice for all retail forecourt equipment.<br />

We are delighted to be represent<strong>in</strong>g UPP <strong>in</strong><br />

our market<strong>in</strong>g territories”, said Kev<strong>in</strong> Black,<br />

Manag<strong>in</strong>g Director of Southern African<br />

Master Distributors. SAMD also took over<br />

the Southern African <strong>in</strong>terests of Dresser<br />

Wayne <strong>in</strong> 2004. The firm has s<strong>in</strong>ce worked<br />

to distribute dispensers, forecourt control<br />

systems, ATG, pump ma<strong>in</strong>tenance, PoS<br />

and now adds pipework to its competencies.<br />

latest news, events, jobs onl<strong>in</strong>e – www.PetrolPlaza.com<br />

Kss Fuels unveils<br />

survey highlight<strong>in</strong>g<br />

<strong>fuel</strong> pric<strong>in</strong>g trends<br />

ProDUCt News<br />

KSS Fuels, a leader <strong>in</strong> <strong>fuel</strong>s pric<strong>in</strong>g and<br />

retail location <strong>in</strong>telligence, unveiled the<br />

results of its multi-country survey <strong>in</strong>to<br />

current <strong>fuel</strong> pric<strong>in</strong>g practices and the<br />

steps <strong>fuel</strong> retailers are tak<strong>in</strong>g to cope<br />

with the cont<strong>in</strong>ued rise <strong>in</strong> competition<br />

for market share amid static or fall<strong>in</strong>g<br />

demand for motor <strong>fuel</strong>s. Compris<strong>in</strong>g<br />

feedback from executives at retail petroleum<br />

companies operat<strong>in</strong>g more than<br />

11 000 sites <strong>in</strong> 14 countries, responses<br />

reveal a significant shift <strong>in</strong> the attitude<br />

of <strong>fuel</strong> retailers to<strong>war</strong>d technology and<br />

a grow<strong>in</strong>g desire to understand how the<br />

comb<strong>in</strong>ation of improved processes and<br />

predictive analytics drive bottom-l<strong>in</strong>e<br />

results. Survey f<strong>in</strong>d<strong>in</strong>gs show a grow<strong>in</strong>g<br />

trend to move away from <strong>in</strong>-house developed<br />

pric<strong>in</strong>g systems to commercially<br />

developed and ma<strong>in</strong>ta<strong>in</strong>ed applications,<br />

with 76 percent of respondents stat<strong>in</strong>g<br />

they use third party pric<strong>in</strong>g applications,<br />

of which 62 percent chose a KSS Fuels<br />

application. “This most recent survey<br />

<strong>in</strong>dicates a significant shift <strong>in</strong> <strong>fuel</strong> retailers’<br />

attitudes to<strong>war</strong>d advanced analytics<br />

and decision support, highlight<strong>in</strong>g that<br />

today’s market conditions and <strong>in</strong>creas<strong>in</strong>g<br />

competition are demand<strong>in</strong>g a more<br />

sophisticated approach to <strong>fuel</strong>s pric<strong>in</strong>g”,<br />

said Bob Ste<strong>in</strong>, President and CEo of<br />

KSS Fuels. “We’re see<strong>in</strong>g an <strong>in</strong>creas<strong>in</strong>g<br />

number of <strong>fuel</strong> retailers mov<strong>in</strong>g away from<br />

<strong>in</strong>-house tools and spread-sheets to adopt<br />

dedicated commercial applications that<br />

are ma<strong>in</strong>ta<strong>in</strong>ed and updated by bus<strong>in</strong>ess<br />

specialists like KSS Fuels.”<br />

tokheim achieves<br />

full compliance<br />

Tokheim has announced that it is now PCI<br />

DSS certified for its onl<strong>in</strong>e Authorisation<br />

and Switch<strong>in</strong>g Environment (oASE) payment<br />

gateway service. This certification<br />

has been a<strong>war</strong>ded subsequent to a comprehensive<br />

audit that took place <strong>in</strong> September<br />

last year. Tokheim’s oASE, facilitates <strong>fuel</strong><br />

and bank card payments <strong>in</strong> a <strong>fuel</strong> retail<br />

environment and it currently processes<br />

more than 300 million transactions per<br />

year. PCI DSS is a multifaceted security<br />

standard that <strong>in</strong>cludes requirements for<br />

security management, policies, procedures,<br />

network architecture, soft<strong>war</strong>e design<br />

and other critical protective measures.<br />

This comprehensive standard is <strong>in</strong> place<br />

to proactively support organisations to<br />

protect their customer account data.<br />

15


FAIrbANKs – AN INteLLIGeNt FUtUre<br />

16<br />

bob Conl<strong>in</strong>,<br />

Manag<strong>in</strong>g Director<br />

An <strong>in</strong>telligent future for<br />

Fairbanks by Nick Needs<br />

Last August, Shell a<strong>war</strong>ded a three year<br />

global wetstock contract to UK based company<br />

Fairbanks, <strong>in</strong> partnership with systems and<br />

dispenser manufacturer ToKHEIM, to deliver<br />

its services to more than 3 000 petrol stations,<br />

<strong>in</strong> 25 countries, across three cont<strong>in</strong>ents. At<br />

the time Shell’s Wetstock Manager for North<br />

West Europe, Peter Houlton said, “Shell identified<br />

a number of sites which would benefit<br />

from remote wet stock monitor<strong>in</strong>g dur<strong>in</strong>g a<br />

recent risk assessment. Fairbanks emerged<br />

as our provider of choice after a comprehensive<br />

tender process and comparative trial of<br />

service providers. Fairbanks offer Statistical<br />

Inventory Reconciliation Analysis (SIRA)<br />

and Real Time monitor<strong>in</strong>g to a high standard.<br />

Fairbanks’ wetstock management service will<br />

be critical to help manage our global petrol<br />

retail network us<strong>in</strong>g various data capture<br />

solutions and valuable report<strong>in</strong>g methods and<br />

we are look<strong>in</strong>g for<strong>war</strong>d to work<strong>in</strong>g with them<br />

over the com<strong>in</strong>g years.” Baudou<strong>in</strong> de la Tour,<br />

ToKHEIM CEo, said, “We are very pleased<br />

with the success of the Fairbanks-ToKHEIM<br />

partnership <strong>in</strong> the worldwide Shell tender for<br />

wet stock monitor<strong>in</strong>g”. We aim to provide a<br />

range of products and services that provide<br />

genu<strong>in</strong>e return on <strong>in</strong>vestment to our customers<br />

around the world. In 2010 Fairbanks jo<strong>in</strong>ed<br />

forces with ToKHEIM, a global service sta-<br />

LAtest News, eveNts, Jobs oNLINe – www.PetroLPLAzA.CoM<br />

tions solution provider, to help expand the<br />

bus<strong>in</strong>ess <strong>in</strong>ternationally.<br />

It must be said that this achievement is a<br />

significant milestone <strong>in</strong> the company’s history<br />

and re<strong>war</strong>d for the hard work carried out by<br />

Directors Bob Conl<strong>in</strong> and Steve Jones over<br />

the last 20 years. The hair on Steve’s head<br />

has def<strong>in</strong>itely turned much whiter <strong>in</strong> that time,<br />

whilst on Bob’s there just seems to be far less<br />

of it, but Bob also seems to have become far<br />

more relaxed, or is it more accomplished <strong>in</strong> his<br />

manner and appearance dur<strong>in</strong>g the time I have<br />

known him, a good attribute <strong>in</strong> any Manag<strong>in</strong>g<br />

Director. In any event, I felt, it was def<strong>in</strong>itely<br />

the right time to get Mr Conl<strong>in</strong> to talk some<br />

more about Fairbanks and ask him to identify<br />

the challenges and opportunities he feels<br />

retailers will be fac<strong>in</strong>g over the com<strong>in</strong>g years.<br />

From my perspective there are a number<br />

of company profiles which I tend to lump<br />

together and believe that the suppliers <strong>in</strong><br />

question all roughly do the same th<strong>in</strong>g. Leak<br />

detection, tank monitor<strong>in</strong>g, leak prevention,<br />

<strong>fuel</strong> monitor<strong>in</strong>g, tank gaug<strong>in</strong>g etc., but the<br />

more I probe (forgive the pun) <strong>in</strong>to this whole<br />

subject, every company <strong>in</strong>volved <strong>in</strong> this l<strong>in</strong>e<br />

of bus<strong>in</strong>ess does seem to have its own unique<br />

concept po<strong>in</strong>t. Fairbanks is no exception and<br />

over the next two pages you will hopefully see<br />

why. I took Bob through a simple questions<br />

and answer session to which he was happy to<br />

supply answers <strong>in</strong> typical Bob style i. e. well<br />

thought out and no stone unturned!<br />

I first asked him to expla<strong>in</strong> the market<strong>in</strong>g<br />

objectives of Fairbanks and detail the benefits<br />

retailers can achieve by adopt<strong>in</strong>g their<br />

specific company offer<strong>in</strong>g. He replied “Fuel<br />

profit marg<strong>in</strong>s are be<strong>in</strong>g squeezed each year<br />

and the value of <strong>fuel</strong> losses is <strong>in</strong>creas<strong>in</strong>g. We<br />

show retailers how their bus<strong>in</strong>ess can save mon -<br />

ey on ma<strong>in</strong>tenance, reduced <strong>fuel</strong> losses and<br />

lower their risk, all at the same time through<br />

remote wetstock management, powered by<br />

‘real-time data’. Improv<strong>in</strong>g retail petroleum<br />

bus<strong>in</strong>ess through better <strong>fuel</strong> control, is our<br />

primary market<strong>in</strong>g objective. When talk<strong>in</strong>g to<br />

retailers we offer to share with them a vision<br />

of their bus<strong>in</strong>ess <strong>in</strong> the future, powered by an<br />

<strong>in</strong>telligent <strong>fuel</strong> control system, giv<strong>in</strong>g them<br />

visibility of their product from <strong>fuel</strong> term<strong>in</strong>al<br />

to customer vehicle”.<br />

To best expla<strong>in</strong> all this <strong>in</strong> a straight for<strong>war</strong>d and<br />

concise manner i. e. simple, I asked Bob if he<br />

could present to me, imag<strong>in</strong><strong>in</strong>g I was a retailer<br />

<strong>in</strong>terested <strong>in</strong> utilis<strong>in</strong>g the services Fairbanks


has to offer. Bob was extremely pleased to<br />

conduct this undertak<strong>in</strong>g and promptly moved<br />

up another three gears.<br />

He cont<strong>in</strong>ued. “Imag<strong>in</strong>e for a moment that all<br />

of the <strong>in</strong>formation collected by the equipment<br />

on your site was available to you with the click<br />

of a button, collat<strong>in</strong>g all the data across all of<br />

the sites <strong>in</strong> your network <strong>in</strong>stantly. How powerful<br />

a tool would that be? Many retailers have<br />

<strong>in</strong>vested heavily <strong>in</strong>to <strong>in</strong>stall<strong>in</strong>g expensive onsite<br />

equipment such as Automatic Tank Gauges<br />

(ATG) and high-end dispensers. This type of<br />

equipment is a valuable asset to the effective<br />

runn<strong>in</strong>g of a petrol forecourt. But <strong>in</strong> many cases<br />

retailers are fail<strong>in</strong>g to take full advantage of the<br />

tools, <strong>in</strong>formation and visibility of stock that<br />

this type of equipment makes available to them.”<br />

The answer he said is a real-time wetstock<br />

management solution which collects and collates<br />

this data mak<strong>in</strong>g it available to retailers<br />

<strong>in</strong> real-time. “Hav<strong>in</strong>g a real-time wetstock<br />

solution <strong>in</strong> place is the miss<strong>in</strong>g l<strong>in</strong>k between<br />

your site equipment and you. The data is<br />

gathered and made available <strong>in</strong> the form of<br />

<strong>in</strong>telligent management reports that can be<br />

generated onl<strong>in</strong>e from a mobile phone or laptop,<br />

elim<strong>in</strong>at<strong>in</strong>g the unnecessary data track<strong>in</strong>g<br />

that usually requires visits or phone calls to<br />

numerous sites, reduc<strong>in</strong>g workload for area<br />

or network managers. This <strong>in</strong>telligent data<br />

report<strong>in</strong>g uses not only the <strong>fuel</strong> <strong>in</strong>formation<br />

but sales records also. This means that <strong>fuel</strong><br />

purchas<strong>in</strong>g decisions can be made <strong>in</strong>telligently<br />

as anticipated sales and stock hold<strong>in</strong>gs across<br />

sites can be viewed <strong>in</strong>stantly.”<br />

Controll<strong>in</strong>g <strong>fuel</strong> <strong>in</strong>vestment<br />

Across a network of sites many thousands of<br />

euros worth of <strong>fuel</strong> can be delivered <strong>in</strong> just one<br />

week, and Fairbanks state that by <strong>in</strong>creas<strong>in</strong>g<br />

stock visibility retailers can account for every<br />

litre that is delivered, thereby protect<strong>in</strong>g their<br />

<strong>in</strong>vestment. Bob added “Losses don’t just happen<br />

on the forecourt, delivery based losses are<br />

an <strong>in</strong>creas<strong>in</strong>gly common headache for retailers.<br />

When an order of 10 000 litres of product is<br />

made, this is the amount that one would expect<br />

to be dropped <strong>in</strong>to the tank, but that is very<br />

rarely the case. Fuel can often travel many<br />

kilometres before it is delivered to a service<br />

station and as a result of this, transit can be<br />

heavily impacted by temperature changes. Add<br />

to that the issues with short deliveries, tanker<br />

thefts and tanker leaks and all of sudden a<br />

delivery provides retailers with a number of<br />

areas of concern. Unfortunately it is impossible<br />

to be present at every s<strong>in</strong>gle delivery<br />

across even a small network of sites, so how<br />

can retailers be sure of what they are gett<strong>in</strong>g<br />

delivered? An <strong>in</strong>telligent wetstock management<br />

solution would be able to identify exactly how<br />

much <strong>fuel</strong> was dropped <strong>in</strong>to the tank even if<br />

sales are tak<strong>in</strong>g place at the same time. This<br />

means that retailers can be made a<strong>war</strong>e of<br />

any discrepancies between the <strong>fuel</strong> that they<br />

ordered and the <strong>fuel</strong> actually received <strong>in</strong>to the<br />

tank by mak<strong>in</strong>g the data available onl<strong>in</strong>e to<br />

be viewed from home or the office”.<br />

Limit<strong>in</strong>g losses<br />

An <strong>in</strong>vestigation to identify the source of losses<br />

on a forecourt traditionally <strong>in</strong>volves extensive<br />

l<strong>in</strong>e and tank test<strong>in</strong>g, dispenser isolation and<br />

costly ma<strong>in</strong>tenance call-outs, but Fairbanks<br />

confidently po<strong>in</strong>t to the fact that a real-time <strong>fuel</strong><br />

management solution will identify the source<br />

of a loss <strong>in</strong> a matter of days rather than weeks.<br />

Bob expla<strong>in</strong>s “Data collected by a real-time<br />

wetstock management system will relay all of<br />

this <strong>in</strong>formation back to a data analyst. At this<br />

po<strong>in</strong>t the data can be exam<strong>in</strong>ed and losses will<br />

be identified. Concurrently the data is submitted<br />

to an accredited statistical test<strong>in</strong>g regimen<br />

run by the system, giv<strong>in</strong>g retailers the security<br />

of a soft<strong>war</strong>e solution and the reassurance of<br />

human <strong>in</strong>volvement and communication. By<br />

monitor<strong>in</strong>g <strong>fuel</strong> movement across the site the<br />

data analyst can quickly p<strong>in</strong> po<strong>in</strong>t the source<br />

of the losses and then work with the retailer to<br />

achieve a positive solution. This full visibility of<br />

<strong>fuel</strong> movement on site will even identify losses<br />

that would otherwise be disguised by equipment<br />

such as Automatic Temperature Compensat<strong>in</strong>g<br />

(ATC) dispensers and vapour recovery systems<br />

that would impact on the amount of <strong>fuel</strong> <strong>in</strong> the<br />

tank. The above image shows the amount of<br />

losses experienced by some of our customers<br />

from when they implemented the real-time<br />

solution that we offer until today.”<br />

I asked what would happen <strong>in</strong> the unlikely case<br />

that somebody stole all the <strong>fuel</strong> from a tank,<br />

when for example the site is closed. Not duck<strong>in</strong>g<br />

the question at all Bob answered “ Effective<br />

wetstock management can protect <strong>fuel</strong> <strong>in</strong><br />

<strong>in</strong>stances where <strong>fuel</strong> is lost very quickly, such<br />

latest news, events, jobs onl<strong>in</strong>e – www.PetrolPlaza.com<br />

FAIrbANKs – AN INteLLIGeNt FUtUre<br />

as a theft directly from the tank as you suggest.<br />

By hav<strong>in</strong>g a predeterm<strong>in</strong>ed loss threshold set<br />

for when forecourts are closed retailers can<br />

be alerted to a theft as it is happen<strong>in</strong>g. This<br />

detection system is <strong>in</strong> place to identify theft<br />

at any time. We actually have a recent case<br />

which demonstrates my po<strong>in</strong>t precisely.<br />

on Christmas day, at 1:17am, just for the<br />

record, the ibank (Fairbanks’ data collection<br />

and analysis module) <strong>in</strong>stalled on site detected<br />

a sudden loss of more than 200 litres on Tank<br />

5 diesel, which triggered the Night Time Loss<br />

alert. With<strong>in</strong> 15 m<strong>in</strong>utes the alert was sent<br />

to the Fairbanks offices and automatically<br />

for<strong>war</strong>ded onto the security company cover<strong>in</strong>g<br />

the customer’s network of service stations. This<br />

meant that the customer could react to the<br />

situation even though the <strong>in</strong>cident occurred<br />

on a national bank holiday. Without hav<strong>in</strong>g<br />

a wetstock management system <strong>in</strong> place the<br />

thieves would have long s<strong>in</strong>ce fled the site<br />

before the loss was discovered”.<br />

theft Case study<br />

The other important area of loss prevention<br />

Bob was keen to identify was <strong>in</strong> relation to<br />

leaks. In his summary of what was an excellent<br />

presentation he said “ Notwithstand<strong>in</strong>g<br />

potential damage to the environment, the costs<br />

of clean<strong>in</strong>g up a leak can run <strong>in</strong>to the many<br />

thousands of euros putt<strong>in</strong>g most bus<strong>in</strong>esses<br />

<strong>in</strong>to serious f<strong>in</strong>ancial difficulty or even out<br />

of bus<strong>in</strong>ess altogether. A real-time wetstock<br />

system will give you the time and direction<br />

necessary to take action and recover the situation,<br />

24 hours a day 365 days a year. So no<br />

matter when a leak starts you’ll be given the<br />

tools to deal with it <strong>in</strong> a timely manner”.<br />

Bob will be represent<strong>in</strong>g Fairbanks at the upcom<strong>in</strong>g<br />

erpec 13 event <strong>in</strong> Nice from the 16th<br />

to the 18th of April, 2013 and said he would<br />

be more than happy to offer help and advice to<br />

any retailers who have serious concerns about<br />

this whole subject or perhaps those who just<br />

need a little reassurance.<br />

More details at www.fairbanks.co.uk<br />

17


Georgia a<strong>war</strong>ds<br />

tender to LUKoIL<br />

News from Russia & Cis<br />

Georgia’s Government has agreed to purchase<br />

motor <strong>fuel</strong> from Russian firm LUKoIL. The<br />

supply tender <strong>in</strong>cludes gasol<strong>in</strong>e of the Super,<br />

Premium and EuroDiesel types with a total<br />

volume of 56 million litres. Smaller supply<br />

agreements, with a volume of approximately<br />

5 million litres, have been a<strong>war</strong>ded to Rompetrol<br />

and Wissol. Georgia’s Competition and<br />

State Procurement Agency noted that the<br />

consolidated tender was declared <strong>in</strong> Georgia<br />

for the first time and that maximum transparency<br />

of the procedure and equal conditions<br />

were provided for all participants.<br />

Gazprom wants 50<br />

stations <strong>in</strong> romania<br />

The first Gazprom <strong>fuel</strong> station on Romanian<br />

soil was opened <strong>in</strong> Sibiu, on Christmas Eve.<br />

The entire cha<strong>in</strong> of local stations will be under<br />

the management of the Serbian NIS group,<br />

which is controlled by Gazprom. Romania is<br />

the second largest European market on which<br />

Gazprom <strong>fuel</strong> stations now operate. on December<br />

19 the first Gazprom <strong>fuel</strong> station was<br />

opened <strong>in</strong> Serbia. Plans for development on<br />

the retail segment under this brand <strong>in</strong>clude<br />

Bulgaria, Bosnia and Herzegov<strong>in</strong>a. By the end<br />

of 2013 the Gazprom network of <strong>fuel</strong> stations<br />

<strong>in</strong> the Balkans is expected to have reached<br />

100 units. “The development of Gazprom <strong>fuel</strong><br />

stations <strong>in</strong> the Balkans is our strategic objective”,<br />

stated Alexander Dyukov, Chairman of<br />

the Gazprom Neft Board of Directors. “We<br />

aim to expand <strong>in</strong> Serbia and Romania and<br />

the next step is to enter the Bulgarian market.<br />

I am confident that <strong>in</strong> the near future the<br />

network of Gazprom <strong>fuel</strong> stations will spread<br />

through the Balkans and take over leadership<br />

of the market.”<br />

LUKoIL considers<br />

expand<strong>in</strong>g to Lebanon<br />

LUKoIL may become the first Russian oil<br />

company <strong>in</strong> Lebanon. LUKoIL, operat<strong>in</strong>g<br />

<strong>in</strong> West Africa and Romania, is <strong>in</strong>terested<br />

<strong>in</strong> w<strong>in</strong>n<strong>in</strong>g a government tender to develop<br />

offshore fields <strong>in</strong> Lebanon. LUKoIL’ competition<br />

<strong>in</strong> the tender <strong>in</strong>cludes other <strong>in</strong>ternational<br />

companies, U.S.-based Chevron and Exxon-<br />

Mobil, France’s ToTAL, Ch<strong>in</strong>a’s CNooC<br />

and Russia’s Gazprom.<br />

soCAr to implement major projects<br />

Construction of a new complex process<strong>in</strong>g<br />

oil, gas and petrochemicals <strong>in</strong> Azerbaijan<br />

is the largest project to be implemented <strong>in</strong><br />

the next few years, not only for the State oil<br />

Company of Azerbaijan (SoCAR), but for<br />

the whole country. This was recently stated<br />

by head of SoCAR Rovnag Abdullayev dur<strong>in</strong>g<br />

a meet<strong>in</strong>g with the president and CEo<br />

of the American company Air Products John<br />

McGlade. Accord<strong>in</strong>g to a statement issued by<br />

SoCAR, Abdullayev spoke about projects<br />

implemented by the State oil Company <strong>in</strong><br />

Turkey, construction of a new shipyard and<br />

the Sumgayit plant for production of nitrogen<br />

fertilisers <strong>in</strong> Azerbaijan, construction of a<br />

18<br />

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– www.PetroLPLAzA.CoM<br />

new oil ref<strong>in</strong>ery <strong>in</strong> Turkey, expansion of the<br />

petrochemical complex Petkim’s port, as well<br />

as a power plant to be built there. “These are<br />

big challenges for SoCAR and its partners <strong>in</strong><br />

the next five years”, Abdullayev said. The Air<br />

Products Company has more than 20 years<br />

of experience <strong>in</strong> manufactur<strong>in</strong>g equipment<br />

for the production of <strong>in</strong>dustrial and liquefied<br />

gas for oil ref<strong>in</strong><strong>in</strong>g and petrochemical <strong>in</strong>dustry<br />

facilities. The company has more than<br />

40 subsidiaries and its annual sales exceed<br />

$10 billion. SoCAR <strong>in</strong>cludes production<br />

association Azneft (companies produc<strong>in</strong>g<br />

oil and gas on land and sea) and Production<br />

Association Azerkimya (chemical <strong>in</strong>dustry), as<br />

well as production association Azerigas (gas<br />

distribution).The State oil Company is the<br />

only producer of oil products <strong>in</strong> the country (it<br />

has two ref<strong>in</strong>eries on its assets sheet) and also<br />

owns petrol stations <strong>in</strong> Azerbaijan, Georgia,<br />

Ukra<strong>in</strong>e and Romania. SoCAR possesses<br />

a network of petrol stations <strong>in</strong> Switzerland<br />

and is the co-owner of the largest Turkish<br />

petrochemical complex Petkim.<br />

rosneft and saras sign venture deal<br />

Russian oil giant Rosneft has put pen to<br />

paper on a jo<strong>in</strong>t venture agreement with<br />

Italy’s Saras, with the focus on develop<strong>in</strong>g<br />

the 300 000 barrel-a-day Sarroch facility <strong>in</strong><br />

Sard<strong>in</strong>ia. The venture, a 50/50 partnership,<br />

will see the two cooperate on crude oil<br />

process<strong>in</strong>g and the sale of ref<strong>in</strong>ed products.<br />

The deal comes as more and more European<br />

ref<strong>in</strong>ers are be<strong>in</strong>g forced to go <strong>in</strong>to bus<strong>in</strong>ess<br />

with producers from outside their regular<br />

sphere of operation. Saras’ compatriot ERG,<br />

which has already sold its stake <strong>in</strong> a Romebased<br />

venture it engaged <strong>in</strong> with ToTAL,<br />

has <strong>in</strong>dicated that it may sell its rema<strong>in</strong><strong>in</strong>g<br />

20 percent stake <strong>in</strong> the Priolo ISAB facility<br />

to LUKoIL.<br />

tAtNeFt switches <strong>in</strong>formation system<br />

The TATNEFT group has switched its central<br />

logistics management <strong>in</strong>formation system to a<br />

new SAP version, the company has confirmed.<br />

The E-Store project has been <strong>in</strong>tegrated with<br />

logistics, f<strong>in</strong>ance, controll<strong>in</strong>g, budget<strong>in</strong>g, project<br />

management and TATNEFT’s electronic<br />

trad<strong>in</strong>g platform. In addition to updat<strong>in</strong>g the<br />

system, the expanded functionality of the SAP<br />

ERP 6.0 version has offered new capabilities,<br />

<strong>in</strong>clud<strong>in</strong>g a process of manag<strong>in</strong>g contracts for<br />

deliveries. Standard user roles have also been<br />

worked out that allow to quickly connect new<br />

employees to the system, as well as assign<strong>in</strong>g<br />

new functions and powers.<br />

rosneft’s tNK-bP purchase approved<br />

Russia’s Federal Antimonopoly Service has<br />

approved oAo Rosneft’s (RoSN.RS) purchase<br />

of Russian oil producer TNK-BP Hold<strong>in</strong>g<br />

(TNBP.RS), clear<strong>in</strong>g the way for the statecontrolled<br />

firm to become the world’s largest<br />

listed crude producer. Igor Artemyev, the head<br />

of the Federal Antimonopoly Service said that<br />

Rosneft will be obliged to sell off some gas<br />

stations <strong>in</strong> regions where the companies will<br />

own more than half of the total. BP will hold<br />

a 19.8 percent stake <strong>in</strong> Rosneft as part of its<br />

deal to sell out of TNK-BP.


April 16 th to 18 th<br />

Spr<strong>in</strong>g 2013<br />

13<br />

Palais De La Méditerranée<br />

Nice, France<br />

www.erpec.com<br />

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20<br />

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aLTERNaTiVEfUeL News<br />

ohio powers up electric vehicle charg<strong>in</strong>g stations<br />

Dubl<strong>in</strong>, ohio has taken upon itself meet<strong>in</strong>g<br />

the recharg<strong>in</strong>g needs of environmentally conscious<br />

drivers. The city has <strong>in</strong>stalled electric<br />

vehicle charg<strong>in</strong>g stations to meet what it calls<br />

a grow<strong>in</strong>g <strong>in</strong>terest <strong>in</strong> alternative <strong>fuel</strong> vehicles.<br />

The $ 28 400 units are free of charge to the<br />

public. Half the cost of the project is shared<br />

by Columbus-based Clean Fuels ohio, a statewide<br />

non-profit organization that promotes the<br />

use of clean <strong>fuel</strong>s and energy-efficient vehicles.<br />

The city’s first publicly owned charg<strong>in</strong>g station<br />

is part of its overall push for clean energy.<br />

world’s largest companies embrace clean energy<br />

A majority of the world’s largest companies<br />

are not wait<strong>in</strong>g for governments to mandate<br />

renewable energy and lower greenhouse gas<br />

emissions, they are tak<strong>in</strong>g it upon themselves<br />

to act first. A new report from <strong>in</strong>vestment<br />

and conservation organizations shows that<br />

more than half of the Fortune 100 and<br />

more than two-thirds of the Global 100<br />

have set carbon emissions reduction commitments,<br />

renewable energy commitments<br />

or both. “The global transition to a lower<br />

carbon economy is accelerat<strong>in</strong>g due to ris<strong>in</strong>g<br />

public concern about climate change”,<br />

states the report. AT&T, DuPont, General<br />

Motors, Google, HP, Spr<strong>in</strong>t and Walmart are<br />

among the corporations that have set their<br />

own renewable energy and greenhouse gas<br />

goals. Despite glacial progress on climate<br />

and energy policy <strong>in</strong> the U.S. Congress and<br />

at the United Nations climate change talks<br />

that concluded <strong>in</strong> <strong>Qatar</strong> 9th December, the<br />

report from Calvert Investments, Ceres and<br />

World Wildlife Fund shows that clean energy<br />

practices are becom<strong>in</strong>g standard for some of<br />

the largest and most profitable companies<br />

<strong>in</strong> the world. The report, “Power For<strong>war</strong>d:<br />

Why the World’s Largest Companies are<br />

Invest<strong>in</strong>g <strong>in</strong> Renewable Energy”, shows<br />

that a majority of Fortune 100 companies<br />

have set a renewable energy commitment,<br />

a greenhouse gas emissions reduction commitment<br />

or both. The trend is even stronger<br />

<strong>in</strong>ternationally, as more than two-thirds of<br />

Fortune’s Global 100 have set the same commitments.<br />

The report was prepared by David<br />

Gard<strong>in</strong>er & Associates with the guidance<br />

of WWF, Ceres and Calvert staff. It was<br />

sourced from analysis of corporate public<br />

disclosures as well as two dozen <strong>in</strong>terviews<br />

with Fortune and Global 100 executives.<br />

“When a majority of the world’s largest<br />

companies are <strong>in</strong>vest<strong>in</strong>g <strong>in</strong> clean energy, you<br />

can truly see its value”, said M<strong>in</strong>dy Lubber,<br />

President of Ceres, a coalition of <strong>in</strong>vestors,<br />

companies and public <strong>in</strong>terest groups. Ceres<br />

also directs the Investor Network on Climate<br />

Risk, 100 <strong>in</strong>stitutional <strong>in</strong>vestors with assets<br />

total<strong>in</strong>g more than $ 10 trillion. “It speaks<br />

volumes that almost all of these companies<br />

set their renewable energy and greenhouse<br />

gas goals after the economic downturn, precisely<br />

because they understand the economic<br />

benefits of efficiency and renewable energy”,<br />

said Lubber. “We encourage lawmakers to<br />

support policies that help companies meet<br />

and strengthen their clean energy goals.”<br />

The report shows that 96 companies from<br />

the comb<strong>in</strong>ed 173 companies <strong>in</strong> the Fortune<br />

100 and Global 100 have set greenhouse<br />

gas reduction goals – 56 percent. of those,<br />

23 companies have set specific goals for<br />

renewable energy use, with others us<strong>in</strong>g<br />

renewable energy to meet their greenhouse<br />

gas goals. Many companies are shift<strong>in</strong>g from<br />

purchas<strong>in</strong>g short-term, temporary Renewable<br />

Energy Credits to longer-term <strong>in</strong>vestment<br />

strategies like Power Purchase Agreements<br />

and on-site projects, <strong>in</strong>dicat<strong>in</strong>g a long-term<br />

commitment to renewable energy and reap<strong>in</strong>g<br />

the benefits of reduced price volatility,<br />

accord<strong>in</strong>g to the report. “The companies that<br />

are boldly sett<strong>in</strong>g either greenhouse gas or<br />

renewable energy goals and mak<strong>in</strong>g progress<br />

on those commitments are demonstrat<strong>in</strong>g<br />

the bus<strong>in</strong>ess case and real leadership on<br />

climate change”, said Marty Spitzer, Director<br />

of U.S. Climate Policy with WWF, the<br />

global conservation organization. “And, <strong>in</strong><br />

the process”, said Spitzer, “these companies<br />

are chang<strong>in</strong>g the game – driv<strong>in</strong>g significant<br />

renewable energy <strong>in</strong>vestment globally and<br />

press<strong>in</strong>g for the right policy and market<br />

conditions that will allow companies to do<br />

even more.”<br />

News<br />

Neste oil <strong>jo<strong>in</strong>s</strong> aviation<br />

bio-<strong>fuel</strong> <strong>in</strong>itiative<br />

F<strong>in</strong>nish renewable <strong>fuel</strong> developer Neste oil<br />

will jo<strong>in</strong> hands with the European Union<br />

(EU)-backed ‘Initiative To<strong>war</strong>ds Susta<strong>in</strong>able<br />

Kerosene for Aviation’ (ITAKA) project to<br />

promote the use of susta<strong>in</strong>able bio-<strong>fuel</strong>s <strong>in</strong><br />

aviation. A consortium of companies are<br />

currently tak<strong>in</strong>g part <strong>in</strong> the 36-month ITAKA<br />

project, funded through an EU grant of<br />

10 million under the EU Seventh Framework<br />

Programme for Research and Development<br />

(2007–2013). Neste oil will produce 4 000 tons<br />

of NExBTL renewable aviation <strong>fuel</strong>, produced<br />

from Spanish camel<strong>in</strong>a oil and used cook<strong>in</strong>g<br />

oil, for the project.<br />

H2 mobility <strong>in</strong>itiative<br />

<strong>in</strong> Germany<br />

Build<strong>in</strong>g up a re<strong>fuel</strong>l<strong>in</strong>g station network for<br />

<strong>fuel</strong> cell electric vehicles is tak<strong>in</strong>g on a concrete<br />

form. The current partners <strong>in</strong> the H2<br />

Mobility <strong>in</strong>itiative (Air Liquide, Daimler,<br />

L<strong>in</strong>de, oMV, Shell and ToTAL) are work<strong>in</strong>g<br />

on implement<strong>in</strong>g a bus<strong>in</strong>ess model to build<br />

up a nation-wide hydrogen re<strong>fuel</strong>l<strong>in</strong>g station<br />

network <strong>in</strong> Germany. The objective of this<br />

<strong>in</strong>itiative is to prepare for the planned series<br />

launch of <strong>fuel</strong> cell electric vehicles and build<br />

up a hydrogen station network <strong>in</strong>frastructure.<br />

As well as the six partners, seven associated<br />

partners from the automotive <strong>in</strong>dustry (BMW,<br />

Honda, Hyundai, Intelligent Energy, Nissan,<br />

Toyota and Volkswagen) as well as the National<br />

organization of Hydrogen and Fuel Cell<br />

Technology (NoW) as <strong>in</strong>terface to Germany’s<br />

federal government are also <strong>in</strong>volved.<br />

tesla adds to ev<br />

supercharger network<br />

Tesla has expanded its network of super charg -<br />

ers to the East Coast of the US. The Tesla<br />

Model S charg<strong>in</strong>g stations, which can add 150<br />

miles of range to a car <strong>in</strong> only 30 m<strong>in</strong>utes, have<br />

been established Milford, Connecticut and<br />

Ne<strong>war</strong>k, Dela<strong>war</strong>e. Tesla’s orig<strong>in</strong>al network<br />

of six charg<strong>in</strong>g stations stretched from Los<br />

Angeles to northern California. The company<br />

plans to have 100 new Superchargers across<br />

North America by 2015.<br />

latest LAtest news, ALterNAtIve events, FUeL jobs News onl<strong>in</strong>e – www.PetroLPLAzA.CoM – www.PetrolPlaza.com<br />

21


Couche-tard acquires<br />

29 stores<br />

All stores offer motor <strong>fuel</strong> branded Phillips 66.<br />

They would eventually be rebranded under<br />

the Circle K brand and cont<strong>in</strong>ue to offer<br />

motor <strong>fuel</strong> under Phillips 66. Couche-Tard’s<br />

Midwest division would operate 28 of them,<br />

the other operated by the Southwest division.<br />

Pursuant to this transaction, Couche-Tard<br />

would buy the land and build<strong>in</strong>gs for 25<br />

locations and would assume or enter <strong>in</strong>to<br />

leases for the rema<strong>in</strong><strong>in</strong>g locations.<br />

Murphy oil expands<br />

through wal-Mart<br />

Murphy oil Corp has announced that its<br />

wholly-owned subsidiary, Murphy oil USA,<br />

Inc., has entered <strong>in</strong>to an agreement with<br />

Wal-Mart Stores, Inc. to provide access to<br />

over 200 new <strong>fuel</strong> service stations with<strong>in</strong><br />

its core market area cover<strong>in</strong>g the Midwest<br />

and Southeast United States. Under the<br />

terms of the agreement, Murphy USA will<br />

have the opportunity to build over 200 new<br />

<strong>fuel</strong> service stations at exist<strong>in</strong>g Walmart<br />

supercentres. The construction program<br />

is expected to be completed over the next<br />

three years.<br />

7-Eleven acquires<br />

143 sites<br />

7-Eleven has made a significant acquisition<br />

of 143 sites <strong>in</strong> south Texas. from C. L.<br />

Thomas. The, transaction adds to a previous<br />

acquisition of 25 convenience stores <strong>in</strong> the<br />

state from Tetco and <strong>in</strong>cludes <strong>fuel</strong> distribution<br />

to approximately 150 dealer-operated<br />

<strong>fuel</strong> service stations. The retail sites are<br />

branded as Speedy Stop and Tigermarket.<br />

&-Eleven plans to <strong>in</strong>terview and offer positions<br />

to qualified employees <strong>in</strong> the stores<br />

and rebrand a significant number of locations<br />

dur<strong>in</strong>g 2013.<br />

usa News<br />

New <strong>fuel</strong> distribution <strong>in</strong>surance program<br />

National Interstate Insurance Company is<br />

plann<strong>in</strong>g to offer a new <strong>fuel</strong> distribution <strong>in</strong>surance<br />

program, <strong>in</strong> an effort to strengthen its<br />

long-stand<strong>in</strong>g captive <strong>fuel</strong> distribution bus<strong>in</strong>ess.<br />

Effective s<strong>in</strong>ce January, the new program<br />

<strong>in</strong>volves residential propane and <strong>fuel</strong> dealers<br />

AtM legislation becomes law<br />

President obama has signed <strong>in</strong>to law NACSsupported<br />

legislation that elim<strong>in</strong>ates a regulatory<br />

provision – one that has become the<br />

source of frivolous lawsuits aimed at operators<br />

of ATMs. Regulations required ATM opera -<br />

tors to post both a notice of a transaction<br />

fee on or near the ATM and provide an onscreen<br />

notice of the fee dur<strong>in</strong>g the transaction.<br />

Under the Electronic Fund Transfer Act, a<br />

consumer who uses an ATM which does not<br />

have a notice of a transaction fee posted and<br />

is charged a fee, can br<strong>in</strong>g an action aga<strong>in</strong>st<br />

22<br />

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with a commitment to safety and strong risk<br />

man agement practises. Coverage options <strong>in</strong> -<br />

clude auto liability, general liability, auto physical<br />

damage, workers’ compensation, as well<br />

as property and excess umbrella, with crime<br />

and <strong>in</strong>land mar<strong>in</strong>e coverage upon request.<br />

the ATM operator and recover statutory<br />

damages between US $ 100 and US $ 1 000<br />

for each transaction – regardless of whether<br />

the consumer suffered any actual <strong>in</strong>jury.<br />

Representative Bla<strong>in</strong>e Luetkmeyer (R-Mo)<br />

<strong>in</strong>troduced legislation to elim<strong>in</strong>ate this redundant<br />

requirement when he learned that one<br />

<strong>in</strong>dividual <strong>in</strong> Missouri had successfully filed<br />

suit aga<strong>in</strong>st five ATM operators and secured<br />

more than US $ 100 000 <strong>in</strong> settlements. He<br />

referred to the legislation as a “commonsense<br />

fix” to crack down on nuisance lawsuits.<br />

Kwik trip expands CNG station network <strong>in</strong> UsA<br />

La Crosse-based Kwik Trip has began sell<strong>in</strong>g<br />

compressed natural gas at its <strong>fuel</strong><strong>in</strong>g station<br />

<strong>in</strong> M<strong>in</strong>nesota City, USA. Kwik Trip now has<br />

n<strong>in</strong>e stations across Wiscons<strong>in</strong>, Iowa and<br />

M<strong>in</strong>nesota that sell compressed natural gas<br />

and it <strong>in</strong>tends to open many more, said Joel<br />

Hirschboeck, the company’s super<strong>in</strong>tendent<br />

of alternative <strong>fuel</strong>. CNG emissions are about<br />

90 percent lower than diesel, mak<strong>in</strong>g the <strong>fuel</strong><br />

especially attractive to bus<strong>in</strong>esses that have<br />

truck fleets. The national trade organization<br />

NGVAmerica estimates CNG <strong>fuel</strong> consumption<br />

has grown by about 15 percent a year<br />

s<strong>in</strong>ce 2006.<br />

source upgrade their dispens<strong>in</strong>g applications<br />

Source North America Corporation, a<br />

major <strong>fuel</strong>l<strong>in</strong>g equipment distributor <strong>in</strong> North<br />

America, is now assembl<strong>in</strong>g curb pump<br />

dispens<strong>in</strong>g hoses as per the requirements<br />

of the UL 330 application process that took<br />

effect on 1st January 2013 which specify<br />

the use of approved flammable liquid hose<br />

assemblies, consist<strong>in</strong>g of flexible hose and<br />

fitt<strong>in</strong>gs suitable for attachment to flammable<br />

liquid dispens<strong>in</strong>g equipment. Curb pump<br />

hoses have been specifically designed for<br />

conventional dispens<strong>in</strong>g applications that<br />

require a hard-wall construction for full flow<br />

and no <strong>in</strong>ternal spr<strong>in</strong>g guards, mak<strong>in</strong>g them<br />

ideal for use with gasol<strong>in</strong>e, diesel, ethanol up<br />

to E15 and biodiesel up to B20.<br />

Jones & Frank acquires reliable oil equipment<br />

Jones & Frank has acquired the assets of Reliable<br />

oil Equipment, a distributor and service<br />

provider headquartered <strong>in</strong> ohio. The comb<strong>in</strong>ed<br />

organisation will have 22 branch offices, three<br />

distribution centres and personnel <strong>in</strong> 20 states.<br />

After completion of the merger, Jones & Frank<br />

will employ over 175 certified technicians strategically<br />

located to deliver a wide array of equipment<br />

and services. “We are very excited about this<br />

acquisition and the depth that the strong team<br />

at Reliable adds to our bus<strong>in</strong>ess. The blend<strong>in</strong>g<br />

of key resources from both organizations will<br />

translate <strong>in</strong>to <strong>in</strong>creased efficiencies to better<br />

serve our customer”, said Jones & Frank CEo<br />

Sterl<strong>in</strong>g Baker. “The acquisition also adds to<br />

our capacity and geographic presence to better<br />

service the s<strong>in</strong>gle store operator or the national<br />

retailer with multiple locations.”


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23

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