Russia’s largest oil producer Rosneft and Greece’s Motor Oil Hellas Corinth Refineries have signed a deal on mutual supplies of crude oil and oil products for the next five years, Rosneft said on Monday.
Rosneft said the deal, signed with the participation of Petrocas Energy, a Rosneft subsidiary, implied the possibility of increasing annual oil and oil product supplies to up to 7.5 million tonnes (150,000 barrels per day).
“The document will also enable Rosneft to independently sell oil products produced at the refineries of Motor Oil Hellas for trading using facilities of Petrocas Energy,” Rosneft said.
Rosneft Press Release
Rosneft, Petrocas Energy (Rosneft’s Group subsidiary) and Motor Oil Hellas Corinth Refineries signed a three-lateral agreement about intentions in the crude and oil product supply.
The document defines the intentions of parties for arrangement of the mutual supplies of feedstock and oil products during the next 5 years and implies potential possibility of increasing of these volumes to 7.5 mtpa.
The signed agreement brings the cooperation with Greek partners to a new level and sets a foundation for stable and long-term relations in the field of supply of crude and other feedstock for Greek refineries. The document will also enable Rosneft to independently sell oil products produced at the refineries of Motor Oil Hellas for trading using facilities of Petrocas Energy.
Implementation of the conditions of the signed agreement will increase the cost-effectiveness of Rosneft oil and oil products marketing, at the same time, allowing the partner to offer flexible supply framework.
The agreement is signed within the framework of development of the partnership relations between Petrocas Energy and Motor Oil Hellas. In 2017 the supply and procurement of oil products amounted to over 2 mmt. Oil products were supplied to Motor Oil Hellas mainly using resources of Rosneft.
Petrocas Energy is a regional player focused on oil product logistics, trading and retail sales. The company owns and manages high-tech oil loading terminal in Poti (Georgia) which performs logistical operations with oil products and petrochemicals, the geography of trading operations is focused in the Caspian Sea and in the Black Sea. The Company also manages the largest retail chain of fueling stations in Georgia (140 branded stations).
Motor Oil Hellas (MOH) owns one of the most advanced refineries in the world which is the largest private industrial facility in Greece with Nelson index of 11.54. Refinery was certified and meets requirements of Environmental Management System (ISO 14001: 2004) and Quality Management System (ISO 9001:2008).
Refinery capacity is 13.5 mmt (crude, fuel oil, VGO, etc.), which accounts for 42% of total annual processing of crude oil in Greece.
MOH is the largest exporter of oil products in Greece with the share of 75%.
In addition to crude refining the Group of Companies also distributes oil products and owns 100% in retail chains under the brands of Shell, Coral Gas, Avin and LPC (1,436 fueling stations, 35% of fueling business of Greece). The developed network of fueling stations allows for efficient retail sales in the domestic market and in the markets of the Eastern Mediterranean. The Group of companies owns 35 retail sites in the countries of the Balkan Peninsula and in the Cyprus. rosneft.com