Page 19 - DMEA Week 44 2020

DMEA NEWS IN BRIEF DMEA

Five Saudi Tadawul-listed conditions. Algerian LNG vessel to
Under the deal, Chubb Arabia will
petchem firms see 45% provide Sipchem with insurance coverage for arrive in Turkey on Nov 3
property damage and business interruption
profit slump in Q3 risks for SAR 48.7mn, according to a bourse Algerian LNG carrier, Ougarta, is due to
arrive in Turkey on November 3, according to
statement on November 3.
Profits of five Tadawul-listed petrochemical The deal is effective for one year starting ship-tracking data on November 1.
companies dropped by 45.3% on a year-on- from October 2020. With a capacity of 171,800 cubic meters,
year basis during the third quarter (Q3) of Moreover, the insurer expects the deal to the vessel, which was built in 2017, left Algeria
the year. reflect positively on its financial statements on Oct. 27 and is currently en route to its
Combined profits of these firms netted for 2020/2021. next destination; the Hatay Dortyol Floating
SAR43.95bn during the quarter ended in Storage Regasification Unit (FSRU) in the
September, compared to SAR80.340bn Hatay province of Turkey.
last year, according to data collected by Its expected arrival is 08.00 local time.
Mubasher based on the companies’ earnings Waltersmith modular The ship is sailing under the Algerian flag.
releases.
The net profits of the Saudi Arabian Oil refinery in Nigeria nears
Company (Saudi Aramco) hit SAR44.21bn Motor oil prices in Iran rise
($11.79bn) during the quarter, down by completion
44.6% year on year, reflecting the impact 50% as rial tanks
of lower crude oil prices and volumes sold, Five states in Nigeria’s south east region will
and weaker refining and chemicals margins. have daily supply of 271mn litres of refined The unit price of motor oils for petrol and
Meanwhile, the National Shipping petroleum products from the 5,000 barrels per diesel vehicles is set to increase by 50% in Iran
Company of Saudi Arabia (Bahri) reported day (bpd) modular refinery of Waltersmith following an agreement struck by interested
SAR313.74mn in net profits for Q3-20, a Petroman Oil, the project’s developers have parties, ISNA reported the head of the Iranian
surge of 113.8% from SAR 146.7mn in the said Mechanics Union as saying on November 2.
year-ago period, backed by higher returns Expected to come into full operation Pricing on locally produced auto parts as
from several operating segments and lower soon, the refinery in Ibigwe, Imo State will well as 30 and 50 grade motor oils is agreed
Zakat and income tax expense. produce diesel, naphtha, heavy fuel oil by the organisation annually. The severe
Aldrees Petroleum and Transport (HFO) and kerosene within its first phase, devaluation of the Iranian rial against the
Services Company’s net earnings stood at and subsequently produce petrol within its dollar has made a sharp impact on available
SAR36.9mn in the July-September period, second phase. local prices.
posting a yearly surge of 122.3%, supported The chairman of Waltersmith Petroman, Union head Alireza Nikiyan noted that
by an increase in fuel profit margin despite Abdulrasaq Isah disclosed in a statement price increases on auto parts and motor oil
the drop in sales, fuel prices, and other from the firm that supply to the eastern has caused car owners to opt against having
income. market was close at hand. their vehicles serviced at the garages of
Moreover, Saudi Arabia Refineries He said this when the Group Managing regular mechanics.
Company (SARCO) moved to net profits Director of the Nigerian National Petroleum Motor oil prices in Iran have risen by 50%
of SAR386,080 in the quarter, against net Corporation (NNPC), Mallam Mele Kyari over the past year.
losses of SAR828,335 in the previous year. visited the refinery. “Compared to last year, the number of
On the other hand, Rabigh Refining and “We will be producing 271mn lires of people referring to these garages for car
Petrochemical Company (Petro Rabigh) petroleum products to meet some of the repairs has decreased significantly,” he said.
swung to quarterly net losses of SAR610mn, requirement of south eastern market,” Isah He added: “This shows that most of the
versus net profits of SAR 394mn in the same told Kyari, who was represented by NNPC’s cars on the roads in the country must be
quarter a year earlier. Chief Operating Officer, Gas and Power, defective and that poses many dangers to
During the first nine months of 2020, during the pre-commissioning visit. both drivers and passengers.”
the five companies achieved SAR 129.05bn He explained that Waltersmith decided Nikiyan added that counterfeit oils have
worth of profits, down by 49.6% when to build the modular refinery to address flooded the Iranian market, with people
compared to SAR 256.496bn in the prior- incessant pipeline vandalism and theft of its looking for cheaper ways to keep their car
year period. crude oil within its operational bases. running.
“As we began to work on the modular “When people cannot buy motor oil at a
refinery project, we started to see the high price, it forces them to buy cheaper oils,
Chubb Arabia, Sipchem economic value and impact on Nigeria. The which are sometimes of inferior quality and
project will also ensure import substitution,
lack standards,” he said.
renew insurance deal energy security for the nation, lower the
company’s operating cost and create lots of
Chubb Arabia Cooperative Insurance jobs,” he said.
Company has renewed an insurance contract
with Sahara International Petrochemical
Company (Sipchem) as per the agreed-upon

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