Česká rafinérská a.s. is a Czech joint stock company and engages in the refining of crude oil into finished products and petrochemical feedstock. It was incorporated on 28 April 1995 and its legal site is in Litvínov, Czech Republic. The Company is comprised of two refineries, which are located in Kralupy and Litvínov. Česká rafinérská a.s. is a part of a consolidated group Unipetrol. It consists of 6 divisions: Financial, Commercial, Technical, Planning and Development, General Affairs and Investment Division.
Česká rafinérská a.s. started operating thanks to a bridging loan from Crédit Lyonnais in the amount of USD 100 million, which was repaid on 29 March 1996 after the cash contribution of the foreign shareholders had been received. The Czech side contributed the new Company’s production units and the foreign shareholders increased the Company’s registered capital by a cash contribution of USD 167 722 million. Working capital valued at CZK 2 923 billion was purchased from Chemopetrol Group and Kaučuk Group and the first fill of the IKL pipeline was purchased at the same time for CZK 759 million.
The shareholders of the Company who hold a 10% or more interest in the Company’s basic capital are as follows:
Chemopetrol Group, a.s.33.24%
Kaučuk Group, a.s.17.76%
AgipPetroli International B.V.16.33%
Conoco Energy Company16.33%
Shell Overseas Investments 16.33%
Based on the shareholders’ decision, the shareholders rights of Chemopetrol Group, a.s. and Kaučuk Group, a.s. were transferred to Unipetrol, a.s.
The total number of employees was 1 299 by 31 December 1996.
The basic capital of the Company comprises of 934 824 shares fully subscribed, with nominal value of 10 thousands CZK. Balance at 31. 12. 1996: basic capital 9 348 240 thousands CZK.
Net income for the accounting period 1996 was 865 868 thousands CZK.
In 1996 Česká rafinérská processed 6 826 million tones of crude oil. The Company sells products to related parties in the ordinary course of business. In 1996 sales amounted to 8 496 570 thousands CZK. Related parties are: Benzina a.s., Kaučuk Group a.s., K-Petrol a.s., Torol a.s., Chemopetrol Group a.s., Du Pont CONOCO, Shell C. R., Agip Praha, a.s.
The Company purchases products and receives services from related parties in the ordinary course of business. In 1996 purchases amounted to 2 170 493 thousands CZK.
Česká rafinérská Market Share in 1996
Automotive gasolines67 %
Jet kerosene94 %
Diesel fuels70 %
Light fuel oils65 %
Heavy fuel oils74 %
Road bitumen’s68 %
Main competitors are: Slovnaft (Slovakia) and Schwechat (Australia).
Future goals (plans)
Keep and strengthen the inland market shares, increase exports, further increase the flexibility of commercial activities by optimization between the two sites, develop and implement an effective crude oil “hedging” system, achieve maximum labour safety standard of the refining industries, improve operation reliability and utilization of equipment operated, increase the labour effectiveness and employees activities extent, reduce emission levels from production units and products, ensure that the good name of the Company is maintained by the regional and general public, including media; create a quality work environment for employees, support Company activities by internal and external services, optimize feedstock purchase in relation to oil products demands, improve and standardize the activity of Production Operation Plan, transfer the maximum responsibility and tasks executed by Czech employees to decrease the number of expatriates, construction of the Blending unit and asphalt pre-heating unit in Litvínov, establish a procurement section (excluding crude and other hydrocarbon purchasing).