Page 14 - DMEA Week 09 2023

DMEA NEWS IN BRIEF DMEA

and directors, which illustrates some examples
of trade-based money laundering.
The Sentry report calls on global and
regional financial institutions to take the
necessary measures to identify accounts held
or owned by those with business dealings
in South Sudan’s oil sector and carry out a
comprehensive assessment to identify their
broader international networks.
In addition, it recommends that
Afreximbank open an investigation into its
relationships and transactions with Trinity
R&D capabilities. It also provides an exciting A new damning report by the investigative Energy and the government of South Sudan.
opportunity to strengthen our relationship and policy organisation The Sentry has BNE
with original equipment manufacturers flagged possible bribery, tax evasion
worldwide by extending the reach of Valvoline and money laundering during the loan FourQuest Energy acquires
Global Operations as a preeminent company procurement and called for an inquiry.
among multi-national lubricant brands, a According to the report titled “Crude UAE-based Caley Energy
position it has proudly held for over a century Dealings: How Oil-Backed Loans Raise Red
and a half. We look forward to welcoming the Flags for Illegal Activity in South Sudan” , FourQuest Energy Inc. has acquired privately
Valvoline Global Operations employees and Trinity Energy ““ which had never before owned Dubai, UAE-based Caley Energy
brand, one of the most recognized names in traded crude ““ nevertheless gained privileged FZCO. Founded in 2014 by Charlie Topp,
the industry, into the Aramco family. At the access South Sudan’s most valuable resource. Caley Energy FZCO is a leading provider of
same time, we expect Aramco’s global network The Afreximbank loan, to purchase diesel specialist equipment and personnel to the
to provide an unmatched foundation for this and gasoline to sell to the South Sudan major service providers of the process and
historic brand’s next chapter of development.” market, was first agreed upon in 2018 and pipeline industry throughout the Middle East,
Sam Mitchell, Valvoline Inc. CEO, said: “It included a trade finance facility enabling Africa, and Caspian region.
is a historic day for our 157-year-old brand. “the creation of a parallel revenue source and “We are very pleased to be acquiring Caley
With the sale of the global products business avenues for off-book spending that avoid Energy FZCO as we continue to expand our
to Aramco, each business can now better public scrutiny and are vulnerable to capture services in strategic global markets,” said
focus on future growth. Today, Valvoline Inc. by self-interested individuals and elites,” The Nik Grgic, President of FourQuest Energy
becomes a pure-play, automotive services Sentry is quoted as saying. Inc. “Having previously operated in these
company with a right-sized capital structure Trinity Energy was awarded more than markets with many of the same personnel,
and enhanced capital allocation. Additionally, 40% of crude cargoes contracted by the South we’re excited to be back providing our
Valvoline Inc. expects to offer significant Sudanese government from June 2018 to May world-class engineering and industry-leading
capital returns to our shareholders through 2019, according to the watchdog. It was also field execution throughout the oil, gas,
equity buybacks over the next 18 months. All granted a dominant position in the petroleum petrochemical, and power industries.”
this combined allows us to focus our efforts and diesel import market, which facilitated Derek Grimley, Director of Caley Energy,
on and further strengthen our brand as a its secretive position of fuel to the South has been appointed the Regional Manager for
premier auto after-market services provider.” Sudanese army. the newly formed Middle East, Africa, and
The acquisition complements Aramco’s The Sentry report underlines that Caspian region of FourQuest Energy, said,
growing presence in the premium branded Trinity Energy spent millions of dollars of “We are very proud to rejoin the FourQuest
lubricants market space and opens “facilitation” and “business acquisition” costs Energy team. Our mission within the region
opportunities to enhance the position of the for the Afreximbank deal, including $125,000 will be to offer our clients an engineered-
150+ year-old name globally, providing a in payments to the government committee driven, cost-effective solution that will add
foundation for future growth and downstream responsible for approving the deal. value to the clients of our projects.”
portfolio integration. Biswick Kaswaswa, a former Trinity FOURQUEST
ARAMCO finance director, claims that government
officials received envelopes of cash and other Kinetiko and FFS Refiners
Trinity Energy loan raises employees received earnings far higher than sign MoU for gas supply
their stated salaries, paid to wipe out a build-
money laundering, bribery up of arrears, Ann Kathure Rutere, Trinity’s Kinetiko Energy Ltd, an Australian gas
executive director at the time of the deal, told
red flags The Sentry. explorer and developer focused on advanced
The investigation also shows that the
shallow conventional gas and coal bed
South Sudanese oil marketing company company “changed millions of US dollars on methane in South Africa, is pleased to provide
Trinity Energy Limited, which procured a the black market, paid fake invoices overseas the following update on its onshore gas
controversial $30mn loan from the African to disguise the black market exchange of exploration and production development
Export-Import Bank (Afreximbank), is hundreds of thousands of dollars, and engaged activities.
under suspicion of engaging in illicit business in behaviours indicative of tax fraud.” It has The non-binding Memorandum of
practices and money laundering, Global Trade also moved money to companies in South Understanding (MOU) entered into with
Review reports. Sudan and Kenya owned by its shareholders FFS Refiners Proprietary Limited (FFS)

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