Hellenic Petroleum plans to invest 15 million euros in Montenegro

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„We estimated that by 2023, diesel and petrol will remain the main fuels for the cars, and on the basis of this assessment, we have invested 2.5 billion euros in our three oil refineries in Greece, in order to adapt them to the demanding European standards“, said CEO of Hellenic Petroleum group, announcing new investments in HP’s branches in Montenegro, Serbia, Macedonia, Bulgaria and Cyprus.

EU has 239 million cars and 35 million trucks and buses. European countries that are not members of the EU count 28 million small cars and six million large motor vehicles, of which 55 per cent use diesel, 42 percent gasoline, and only three percent are hybrid vehicles that use gas or electricity, Pobjeda dailz quoted Stergioulis.

He pointed out the production of oil derivatives is four dollars per barrel more expensive for European companies, than for those in Asian and African countries, adding that 70 per cent of the group’s profit comes from refineries. At a recent summit in Brussels, it was discussed that the refineries be dislocated in Asian and African countries.

„But we can’t afford it, because Hellenic Petroleum employs 5,200 people“, said Stergioulis.

He added HP achieved the two most important of the five goals set – increase of exports by 50 percent and reaching EBITDA between 500 and 700 million, as the adjusted revenue was 758 million euros last year, or 200 million higher than in 2014.

„We now export 60 percent of our total production“, Stergioulis said, adding that the group is going through a period of stabilization.

HP has five daughter companies in the region, which is why they invited journalists from Montenegro, Serbia, Macedonia, Bulgaria and Cyprus to share little known information on their operations.

As one of the reasons why doing business in the Balkans makes sense for them, HP said common DNA is definitely a factor, mostly referring to energy for business.

„We plan to increase cooperation with the Balkan countries, and we do not want to miss any business opportunity“, announced the general manager of strategic planning for HP group, Georgos Aleksopulos.

In the next two years, he said, HP plans to invest 50 million euros in the region. The company has 60 to 65 percent share in the domestic market, and on the regional market, it profited 64 million euros last year, mainly through its 295 gas stations.

HP has 43 branded gas stations in Montenegro, 52 percent of market share and an EBITDA of ten million euros, and they plan to invest an additional 15 mil over the course of the next two years.

Source: Cafe Del Montenegro