Saras Urges European Steps on Refining as Profit Slumps

Posted by Michelle Howard
Wednesday, May 14, 2014

Italy's Saras urged Europe to take steps to restore the competitiveness of the region's refining sector after it posted an 85 percent slump in its core earnings in the first three months due to weak refining margins.
 


Europe's refining sector is facing growing pressure from increasing international competition, excess production capacity and weak domestic consumption.
 


"We hope that the European Authorities will finally become fully aware that the competitiveness of this absolutely strategic sector is progressively being eroded, and will take action to rebalance this abnormal situation," Chairman Gian Marco Moratti said in a statement.
 


Europe's refiners have long complained about unfair competition from peers in the Middle and Far East and have called on EU authorities to help them in restructuring.
 


Saras, controlled by the Italian Moratti family, said in a statement its comparable earnings before interest, tax, depreciation and amortisation (EBITDA) in the period was 7.3 million euros ($10 million).
 


That was below an analyst consensus provided by the company of 13 million euros.



The company, part owned by Russia's Rosneft, said the outlook for the European refining industry in 2014 remained difficult.
 


"However, there are some positive developments in Libya, where eastern ports have resumed operations, and the Saras Group has been among the first lifters of crude oil cargoes from the Zueitina oil terminal," it said in a slide.
 


The Italian refiner was a big buyer of Libyan crude before conflict interrupted supplies in the North African country, forcing it to find other grades of crude which are not as profitable.
 


Saras, whose main Sarroch refinery in Sardinia has a capacity of 300,000 barrels-per-day, also used to import sweet Iranian crude before the U.S-led embargo was imposed.
 


In the first quarter Saras posted an adjusted net loss of 32.4 million euros from a loss of 49.5 million euros a year ago.
 


At 1228 GMT Saras shares were down 3.3 percent while the European oil and gas sector was down 0.45 percent.

 

($1 = 0.7296 Euros)

(By Stephen Jewkes, Editing by Elaine Hardcastle)

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter July 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Ports

New Container Facility at Krishnapatnam Port

Krishnapatnam Port, India's largest all-weather; deep water port on the east-coast of India has inaugurated CONCOR’s - Port Side Container facility – a Government of India undertaking.

Long Beach Awards Sovcomflot for Green Shipping

PAO Sovcomflot earned the Green Environmental Achievement Award from California's Port of Long Beach, recognizing the shipper for its ongoing commitment to environmental stewardship.

Gulf Petrochem Group Expands European Bunker Operations

Gulf Petrochem Group, the UAE based global bunker supplier, has announced that it is now officially offering physical bunker supply in the port of Rotterdam, out of its new office based in Dordrecht.

Finance

China Joins UN Trucking Treaty

China has taken a major step towards establishing a speedy new "Silk Road" to Europe by signing up to a U.N. trucking treaty.   Fifteen years after joining the World Trade Organization (WTO),

Bahri Q2 Net Profit Soars

National Shipping Company of Saudi Arabia (Bahri), the exclusive oil-shipper for Saudi Aramco, reported a 47.2 percent increase in second-quarter net profit on Tuesday.

Gulf Petrochem Group Expands European Bunker Operations

Gulf Petrochem Group, the UAE based global bunker supplier, has announced that it is now officially offering physical bunker supply in the port of Rotterdam, out of its new office based in Dordrecht.

Energy

Bahri Q2 Net Profit Soars

National Shipping Company of Saudi Arabia (Bahri), the exclusive oil-shipper for Saudi Aramco, reported a 47.2 percent increase in second-quarter net profit on Tuesday.

Fuel Consumption, Emissions Monitoring Software Updated

As part of the ongoing Blue Star Delos Renewable Energy Innovation Project, Eco Marine Power (EMP) stated that the Aquarius Management & Automation System (MAS)

Los Angeles Pushes for Valero Terminal Improvements

The Port of Los Angeles has released an Initial Study/Notice of Preparation (IS/NOP) — the first step in the Environmental Impact Report (EIR) process — for a Marine

News

NASSCO Delivers Garden State to APT

Marking its seventh ship delivery in the span of just over a year, General Dynamics NASSCO has delivered the newly built ECO Class tanker Garden State for American Petroleum Tankers.

Long Beach Awards Sovcomflot for Green Shipping

PAO Sovcomflot earned the Green Environmental Achievement Award from California's Port of Long Beach, recognizing the shipper for its ongoing commitment to environmental stewardship.

Bahri Q2 Net Profit Soars

National Shipping Company of Saudi Arabia (Bahri), the exclusive oil-shipper for Saudi Aramco, reported a 47.2 percent increase in second-quarter net profit on Tuesday.

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Security Navigation Offshore Oil Pod Propulsion Port Authority Salvage Ship Simulators Sonar
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.2160 sec (5 req/sec)