thailandedition

Thai Oil to Process Venezuelan Crude, Seeks Investment Partners

Thai Oil to Process Venezuelan Crude, Seeks Investment Partners

MatichonEconomy22h ago

Reader Briefing

Thai Oil's Clean Fuel Project nearing completion, poised to process Venezuelan crude and seeking strategic partners.

  • •Thai Oil's Clean Fuel Project (CFP) is nearing 97% completion and is being managed with a new approach to accelerate timelines and control costs.
  • •The CFP project is designed to refine heavy crude oil from various global sources, including Venezuela, Canada, and the Middle East.
  • •Thai Oil is open to strategic partnerships to enhance its refining and petrochemical businesses, aligning with PTT's policies and emphasizing value creation.
  • •The company has significantly strengthened its financial structure through asset monetization and successful issuance of perpetual bonds, reducing debt.

Overview

  • •On January 22, 2024, Thai Oil announced progress on its Clean Fuel Project (CFP).
  • •Thai Oil is preparing its Clean Fuel Project (CFP) refinery to receive crude oil from Venezuela.
  • •The decision to import crude from Venezuela is based on competitive landed prices, aiming to increase refining margins.
  • •The Clean Fuel Project (CFP) has achieved over 97% overall completion as of the announcement, with remaining construction progressing at 8-9% under new management.
  • •Thai Oil targets the completion of the main utility units within 2024 to support the phased startup of new production units.
  • •Upon commercial operation, the CFP project is expected to increase Thai Oil's total refining capacity to 400,000 barrels per day, enhancing long-term competitiveness.
  • •Thai Oil emphasizes its readiness to welcome investment from partners in refining and petrochemicals, provided they create value.
  • •Thai Oil has reduced its debt by over $1.5 billion (more than 50,000 million THB) through asset monetization and debt repayment since the past year.

Full article content is available on the original source.

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Source: Matichon (Original)

Key Quotes

Bandit Laithongkam
"We adjusted our working methods to better control quality, timelines, and investment budgets. Currently, the remaining construction under new management is about 8-9% complete, and we aim to accelerate work to finish ahead of schedule."
เราปรับวิธีทำงานเพื่อให้ควบคุมคุณภาพ ระยะเวลา และงบลงทุนได้ดีขึ้น ปัจจุบันงานก่อสร้างส่วนที่เหลือภายใต้การบริหารใหม่ มีความคืบหน้าแล้วประมาณ 8-9% และตั้งเป้าเร่งงานให้แล้วเสร็จเร็วกว่าแผนเดิม
Bandit Laithongkam
"For us, crude oil selection is primarily based on the net price including transportation to the refinery. If Venezuelan oil has a competitive landed price, it will increase refining margins."
สำหรับเรา การตัดสินใจเลือกน้ำมันดิบจะดูจากราคาสุทธิรวมค่าขนส่งถึงโรงกลั่นเป็นหลัก หากน้ำมันจากเวเนซุเอลามี Landed Price ที่แข่งขันได้ ก็จะช่วยเพิ่มค่าการกลั่น
Bandit Laithongkam
"Thai Oil is open, but value creation is paramount. If partners can enhance capabilities and generate good returns for shareholders, the company is ready for careful consideration."
ไทยออยล์พร้อมเปิดกว้าง แต่ต้องอยู่บนหลักการ Value Creation เป็นสำคัญ หากพันธมิตรสามารถช่วยเสริมศักยภาพและสร้างผลตอบแทนที่ดีให้กับผู้ถือหุ้น บริษัทก็พร้อมพิจารณาอย่างรอบคอบ

Key Entities

Organization

Thai Oil(ไทยออยล์)ℹ️
A Thai energy company that is preparing its Clean Fuel Project (CFP) refinery to process crude oil from Venezuela and is open to investment partners.
PTT(ปตท.)ℹ️
The major shareholder of Thai Oil, whose policies influence decisions regarding partnerships and investments.

Place

Venezuela(เวเนฯ)ℹ️
A country from which Thai Oil plans to import crude oil for its refinery.

Person

Bandit Laithongkam(นายบัณฑิต ธรรมประจำจิต)
Chief Executive Officer and President of Thai Oil, who provided updates on the Clean Fuel Project and company strategy.