an international retail petroleum news digest issue no 19 ... · an international retail petroleum...

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Issue No 19 | April 2010 www.erpecnews.com erpecnews is published by McLean events in conjunction with PetrolPlaza – www.erpecnews.com an international retail petroleum news digest erpecnews EUROPEAN EDITION Shell to exit 35 percent petrol stations worldwide Initial public offering of Statoil’s energy and retail business on Oslo Stock Exchange Carrefour France to supply food to TOTAL Royal Dutch Shell has announced sweeping changes by outlining plans to raise performance and reduce costs in a bid to save US $ 1 bil- lion and bring itself to a surplus cash flow position by 2012. The company said that it would increase its oil production by 11 percent from 2009 levels over the next two years, exit 35 percent of its petrol pumps worldwide, reduce refining capacity by 15 percent, cut around 2 000 jobs by end of 2011, that would save US $ 1 billion this year. It also plans to sell non-core assets worth US $ 1 – 3 billion a year. Peter Voser, CEO of the Netherlands-based Oil Major said, “The company had become too Statoil’s Board of Directors has decided to start a process to list its energy and retail business on the Oslo Stock Exchange. Statoil’s energy and retail business includes service stations in eight countries. Further to the announcement Carrefour and TOTAL are reportedly in talks regarding an agreement for Carrefour to supply food in some TOTAL petrol sta- tions “The deal could be concluded in the coming weeks”, said a source close to the matter, while stating that “the contract is not finalised yet.” This agreement would cover some 2 000 petrol stations of the 4 500 that TOTAL runs. The petrol stations would retain their current name as the agreement is only for the supply and not for the management of the petrol stations. Such a partnership would not be totally new for Carrefour, the latter having already established its 8 à Huit neighbourhood ban- ner in BP’s network of stations. With the contract, Carrefour could sell considerable volumes of non-alcoholic drinks, snacks and confectionery, giving its buying office a bet- ter position to negotiate with its suppliers. complicated and slower to respond than we’d like. So we are sharpening up.” With a focus on operating performance, asset performance and operating costs, Shell will undertake to sell assets worth US $ 1 – 3 billion a year as it seeks to exit from non-core positions across the company. Voser feels that the company’s petrol retailing and marketing operation, which has a presence in more than 100 coun- tries, are too scattered and not focused enough on profitability and growth and hence plans to exit from 35 percent of its petrol stations worldwide and remain only in 30 of the 90 countries in which it operates. made on the 3rd of February 2010, Statoil’s Board of Directors has approved the proposal to create a stand-alone Energy & Retail (E&R) business through an initial public offering (IPO) on the Oslo Stock Exchange. The IPO will take place at the earliest in the fourth quarter of 2010 or at a time when the capital market is deemed favourable for such an of- fering. Statoil intends to remain a majority shareholder of E&R at the time of the initial public offering and listing. The size and time horizon of Statoil’s future ownership in E&R will be tailored to support and develop company value both for E&R and for the Statoil Group. ENI Galp stake attracts Sonangol interest Angola’s national oil company Sonangol wants to buy Eni’s 33.34 percent in Galp and might raise its stake up to 50 percent. Sonangol already has a 15 percent indirect stake in Galp via a 33.34 percent stake Amorim Energia owns in Galp. Sonangol holds 45 percent in Amorim Energia. Behind every successful forecourt Our innovative product range includes a complete package of powerful and efficient tools to run and operate a successful forecourt. a Gilbarco Veeder-Root, Crompton Close, Basildon, Essex, SS14 3BA, UK p + 44 (0) 1268 533090 e [email protected] w www.gilbarco.eu analyse and control your business. powerful business tools.

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Issue No 19 | April 2010

www.erpecnews.com

erpecnews is published by McLean events in conjunction with PetrolPlaza – www.erpecnews.com

an international retail petroleum news digest

erpecnewseuropean edition

Shell to exit 35 percent petrol stations worldwide

Initial public offering of Statoil’s energy and retail business on Oslo Stock Exchange

Carrefour France to supply food to TOTAL

Royal Dutch Shell has announced sweeping changes by outlining plans to raise performance and reduce costs in a bid to save US $ 1 bil-lion and bring itself to a surplus cash flow position by 2012. The company said that it would increase its oil production by 11 percent from 2009 levels over the next two years, exit 35 percent of its petrol pumps worldwide, reduce refining capacity by 15 percent, cut around 2 000 jobs by end of 2011, that would save US $ 1 billion this year. It also plans to sell non-core assets worth US $ 1 – 3 billion a year. Peter Voser, CEO of the Netherlands-based Oil Major said, “The company had become too

Statoil’s Board of Directors has decided to start a process to list its energy and retail business on the Oslo Stock Exchange. Statoil’s energy and retail business includes service stations in eight countries. Further to the announcement

Carrefour and TOTal are reportedly in talks regarding an agreement for Carrefour to supply food in some TOTal petrol sta-tions “The deal could be concluded in the coming weeks”, said a source close to the matter, while stating that “the contract is not finalised yet.” This agreement would cover some 2 000 petrol stations of the 4 500 that TOTal runs. The petrol stations would retain their current name as the agreement is only for the supply and not for the management of the petrol stations. Such a partnership would not be totally new for Carrefour, the latter having already established its 8 à Huit neighbourhood ban-ner in BP’s network of stations. With the contract, Carrefour could sell considerable volumes of non-alcoholic drinks, snacks and confectionery, giving its buying office a bet-ter position to negotiate with its suppliers.

complicated and slower to respond than we’d like. So we are sharpening up.” With a focus on operating performance, asset performance and operating costs, Shell will undertake to sell assets worth US $ 1 – 3 billion a year as it seeks to exit from non-core positions across the company. Voser feels that the company’s petrol retailing and marketing operation, which has a presence in more than 100 coun-tries, are too scattered and not focused enough on profitability and growth and hence plans to exit from 35 percent of its petrol stations worldwide and remain only in 30 of the 90 countries in which it operates.

made on the 3rd of February 2010, Statoil’s Board of Directors has approved the proposal to create a stand-alone Energy & Retail (E&R) business through an initial public offering (IPO) on the Oslo Stock Exchange. The IPO will take place at the earliest in the fourth quarter of 2010 or at a time when the capital market is deemed favourable for such an of-fering. Statoil intends to remain a majority shareholder of E&R at the time of the initial public offering and listing. The size and time horizon of Statoil’s future ownership in E&R will be tailored to support and develop company value both for E&R and for the Statoil Group.

ENI Galp stake attracts Sonangol interestangola’s national oil company Sonangol wants to buy Eni’s 33.34 percent in Galp and might raise its stake up to 50 percent. Sonangol already has a 15 percent indirect stake in Galp via a 33.34 percent stake amorim Energia owns in Galp. Sonangol holds 45 percent in amorim Energia.

Behind every successful forecourtOur innovative product range includes a complete package of powerful and efficient tools to run and operate a successful forecourt.

a Gilbarco Veeder-Root, Crompton Close, Basildon, Essex, SS14 3BA, UK • p +44 (0) 1268 533090 • e [email protected] • w www.gilbarco.eu

analyse and control

your business.

powerful business

tools.

2

CrEdITS

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erpecnews is published monthly by Mclean Events Europe ltd in conjunction with PetrolPlaza.com and distributed to retail petroleum operations in Europe and the Middle East. Mclean Events Europe is the organiser of erpec, the leading business event, held every two years, for Europe’s retail petroleum market.

CopyrightThe views expressed in print are those of the author and do not necessarily represent those of the publisher, Mclean Events Europe ltd. all rights reserved. No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form or by means electronic, mechanical, photocopying, recorded or otherwise without the prior permission of the copyright holder.

McLean Events

German approval for KPS conductive pipes

Topaz scores best workplace

U-Cont Oy strike a major contract with Uno-X

as mentioned in last month ’s featured article on KPS, the company has now of-ficially announced the approval it received from the German authorities to install its polyethylene piping systems. Germany has the most restrictive rules in Europe regard-ing approval for petrol pipes and a special rule on permeation which is different to the European standard. Only pipes with zero permeation are allowed to be used. In practice, this has meant that only steel pipes have been approved until now, but now the break-through has come for plastic pipes. after several extensive tests of Swedish sup-plier KPS’s conductive pipes, the company’s pipes have been approved for the German market. an important factor in the approval process have been the involvement of laWa (Bund / länder- arbeitsgemeinschaft Wasser),

Topaz, Irelands largest fuels and conven-ience retailer, has been recognized as one of the Best Workplaces in the country for the third year in a row.This year Topaz secured its highest ever position, making the top ten in a list of the best large workplaces in Ireland. Topaz is the only Irish owned company in the top 10, which includes companies like Microsoft, Pepsico Ireland and Diagio. Once again the fully Irish owned and managed company is the only fuels and convenience retailer to be recognized as one of the best places

Design and installation specialist U-Cont closed a deal to supply new self service filling station equipment to Norwegian petroleum retailer Uno-X.By the agreement U-Cont will deliver all the chain’s Uno-X ‘light type’ filling station prefab elements including structural units, tanks, piping, electricity and the design of all. The deal is the biggest single contract in the company’s 44 year history and one of the biggest filling station deliveries ever made in Northern Europe. The total number of filling stations will reach one hundred, depending on local approvals. U-Cont ltd has delivered different types of systems that are put together in factory for not only filling stations but also for waste to bio-ethanol production plants, asphalt factory units, power plants and other different needs of the industry. Jari Sistonen, Managing Director of U-Cont comments, “We have developed our operations systematically towards new

a federal body working with protection of ground water, and which, after considera-tion of the tests and results has given their support for an approval. “The test institute has announced that the tests of our pipes gave a permeation result so low that it is to be considered equal to zero”, says Mr lars Selling, CEO of KPS. “We are very proud that our pipes are the first of their kind to pass the tough German demands on safety and environmental protection. It is the result of research, development and advanced manufacturing technology. We now look forward to be able to offer the German market a competitive alternative which is corrosion-free, conductive and very quick and easy to install. Today, Germany has the most petrol stations in Europe and is thereby the largest market for petrol pipes.”

to work. The Best Companies study sets out to recognize the finest employers and therefore the most satisfied workforces in Ireland. Frank Gleeson, Retail Director at Topaz said; “We are delighted to be recognized as one of the Best Workplaces in Ireland for the third year in a row. This is a great achievement for a young Irish company like Topaz. The passion, drive and commitment shown by all our 1 420 staff is the key to our success, making Topaz the vibrant can do organization it is.”

services that also include the planning and development of our customer’s business. This contract is a great example of the sig-nificance of wide service in making a deal in today’s difficult competitive situation. Our Norwegian customer bases trust on us after ten years of acquaintanceship. Uno-X directors understood the great potential for cost reduction and quality improvement that can be achieved by relying on a genuine systematically designed, industrial model of prefabricated operations, instead of the traditional model of construction. The deal gives us a good take-off board, away from the recession. The manufacturing of the filling stations will employ over nearly one third of our factory’s capacity, so there will be enough capacity left for other needs when the amount of investment will rise again. The right volume will also give volume effectiveness advantage for our customers who’s needs aren’t this big.”

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Shell bets on ambitious growth in Ukraine

Alexela sells its Lithuanian business to Neste Oil

Azerbaijan govern-ment introduces Euro-2 standards

Shell in the Ukraine has announced that it grew its network of petrol stations from 130 to 150 in 2009, following its market entry in partnership with the local alliance group in 2007.Following the initial conversion of existing alliance sites, including a strong presence of forecourt stores, Shell is now aiming to grow its network to 350 outlets by 2014. In terms of petroleum products, Shell hopes to increase its national market share from 6 percent to 14 percent during the period.

Neste Oil is to strengthen its position on the oil retail market in lithuania by acquir-ing 22 unmanned fuel stations. Neste Oil currently has an 11 percent share of the local market, which will rise to nearly 15 percent following the acquisition. The deal will complement the company’s existing network of 37 stations in lithuania and confirm Neste Oil’s position as the country’s number-three oil retailer. The transaction covers all of Estonian-based alexela Oil aS’ station business in lithuania, and will require the approval of the lithuanian competition authorities.

From 1 July 2010, ecological standard Euro-2 (emission of hazardous substances) will be introduced to cars in azerbaijan. Ministry of Industry and Energy, State Committee on Standardization, Metro-logy and Patents and SOCaR (State Oil Company of azerbaijan) are in charge of strengthening control over the quality of motor fuel sold at petrol stations and will take measures with regards to persons violating the requirements. SOCaR has also announced recently that it plans to put into operation the first filling stations in azerbaijan under its own brand. The actual network of azerbaijan’s filling stations is 26 outlets. So far, SOCaR constructed and put into operation over 30 filling sta-tions in Georgia. The company will also expand its activities in the retail market of oil products in Ukraine. SOCaR is cur-rently undertaking a rebranding of about 20 filling stations in this country.

Fuel companies deny holiday price-gouging

TOTAL may close 10 percent of petrol stations in France

NIS fuel at retail sites in Serbia is produced according to European quality standards

dresser wayne achieves OHSAS 18001 Certifications in Czech republic and Slovakia

The German head of petrol providers BP and aral vehemently rejected accusations that the companies were setting higher prices ahead of the Easter holiday. On Monday, prior to the Easter holiday, Ger-man automobile club aDaC had said that aral and its parent company BP were set

TOTal S.a. estimated that about 10 per-cent of all petrol stations running under the TOTal brand in France could close within the next two to three years. Many independent retailers will be affected due to new legis - lation and regulations that require investment and increased costs. TOTal said it needed to cut costs to be able to afford a series of

according to NIS, the goal of the company is to become an acknowledged leader in the Balkan region, with a view to the dynamics of stable growth and increased efficiency. Special attention is being paid to production of naphtha derivatives in line with ecologi-cal standards, modernization of refineries and the development of retail activities of NIS. Development of the retail side of the business is one of the top priorities of the company and the strategy in the produc-tion of fuel according to European qual-ity standards. Since the middle of 2009

Dresser Wayne has achieved Occupational Health and Safety advisory Services OHSaS 18001 certification at its locations in the Czech Republic and Slovakia. The 18001 standard has provided a framework for establishing a management system to track and continually improve worker health and safety. The facilities in Central and Eastern Europe join locations in Western Europe and the United States that have previously been certified according to

to take advantage of customers during the high-traffic long weekend. But the head of aral, Uwe Franke, blamed German taxes for high petrol prices. “Without taxes a litre of petrol or diesel costs between 0.53 euros and 0.61 euros – depending on what kind”, Franke said. “With that we are in the lower third for the EU countries.” Franke went on to say that a litre of gasoline costs less than a litre of any beverage sold at fuelling stations. “This accusation is purely false and won’t be any more correct through continued repetition”, he said, adding that interna-tional markets don’t turn to accommodate German holiday weekends.

renovation work required by the government under new environmental protection rules. a law limiting the sale of alcohol in service stations and the introduction of a carbon tax this year have also been blamed for the cutbacks. TOTal said it will focus on high traffic areas such as motorways, industrial and commercial zones.

and for the first time in the territory of Serbia, NIS began the production of high quality fuel Euro diesel 5 and says the qual-ity of the Euro diesel manufactured by NIS refineries is guaranteed by car manufacturers with world reputations. The car and truck makers ‘Mercedes Benz’ and ‘Volvo’ have signed with NIS protocols on cooperation. These companies give warranty for their cars if Euro diesel is pumped at the NIS petrol stations. These companies also carry out their independent analysis of Euro diesel produced at the NIS refineries.

OHSaS 18001 and the Safety Health and Environment Checklist for Contractors, or SCC. “The OHSaS 18001 certification and our safety management systems are key in our local and global environmental, health and safety practices”, said Neil H. Thomas, Global President, Dresser Wayne. “They help us in establishing sustainability best practices as our capabilities in Central and Eastern Europe grow.”

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NEwS – EUrOPE

Czech republic an-nually loses billions in unpaid fuel tax

Electric fueling point at Munich airport

The Czech state annually loses up to 8 billion crowns in unpaid duty on oil and petrol, according to a report that Benzina, the biggest petrol station chain in the country, worked out for the state “We found out that due to the illegal fuel im-ports from linz, austria, which the police revealed last year, the Czech state lost up to 3.5 billion crowns in seven months, Benzina director general Martin Durcak said. Untaxed petrol is also imported from Germany and Poland. Benzina’s profits are affected by the illegal imports of fuel, a newspaper notes. Some 300 million litres of untaxed fuel was on the Czech market, which was about 4 percent of the consumption.

One erpecnews reader, one a journey through Munich airport in Germany, re-cently saw a glimpse of the future and something many of us have yet to see, whilst walking across the shopping piazza just outside the main airport lobby. a mini car being filled up with electricity, only for promotional purposes I might add, which just seemed to me as being such a simple thing to do. No spilt fuel, no vapour or potential fire hazards. How long will it be before we are all driving onto petrol forecourt, or wherever we may actually find such a facility and asking someone for 8 000 volts please? a shocking thought maybe and certainly a reality check to my system!

Gazprom has no plans for TOTAL’s refinery in UK

Gilbarco veeder-root acquires Fafnir GmbH

Autogrill teams up with ESSO in Italy

budgens & Londis recruit forecourt retailers in the UK

OaO Gazprom Neft, the oil unit of Russia’s natural-gas exporter, doesn’t plan to buy TOTal Sa’s U.K. refinery and filling stations. Gazprom Neft spokeswoman Ekaterina Stenyakina informed by telephone from Moscow after london’s Sunday Times reported Gazprom may bid. Total has hired JPMorgan Chase & Co. to advise on the sale of the assets, worth at least £1 billion (US $ 1.59 billion). TOTal-owned assets for sale include the 221 000 barrel-a-day lindsey refinery in east-ern England and a 247-kilometre (150-mile) pipeline linking the plant to the Buncefield depot near london. The fuel storage site sup-plies jet fuel to Heathrow airport. Total also has 800 filling stations in the country. The

Gilbarco Veeder-Root has acquired Fafnir GmbH, based in Hamburg, Germany. Fafnir specializes in the development and production of sensors and systems for monitoring and measuring liquid levels and vapor flow. The company offers a broad range of tank gauging and vapor monitoring technology for fueling operators, as well as sensing products for the process industry. Fafnir’s commitment to the industry over the last forty years has resulted in a large installed base of sites that spans multi-national, regional, and independent oil companies in Europe, the Middle East and africa, asia, and beyond. Fafnir enjoys strong brand recognition and an excellent reputation for customer focus, quality, and innovation.

“Fafnir’s leading technology and strong brand along with its innovative team of employees in

Italian airport and motorway restaurant operator autogrill has announced it has reached an agreement with Esso Italiana, part of the ExxonMobil Corp. Through the partnership, auto-grill’s subsidiary Nuova Sidap will manage a network of 80 service station stores. The service stations will remain the property of ESSO and will use the ESSO brand for the oil products offered and autogrill brand for grocery items

Musgrave Retail Partners are planning to sign up a significant number of new forecourt re-tailers to its Budgens and londis brands. The company recruited 50 forecourt operators in 2009, with a similar number predicted for 2010. “Budgens and londis are traditionally perceived as convenience, supermarket and wholesale retailers”, said Musgrave Retail Partners GB Managing Director Phil Smith. “Now there is a conscious shift to see Budgens and londis as forecourt retailers too. Forecourts represent a significant and growing number of stores and we will continue to develop our brands and drive

Paris-based company, Europe’s biggest refiner, plans to sell a European plant outside France with the capacity to process about 200 000 barrels a day, Jean-Jacques Mosconi, Senior Vice President for strategy, said earlier this month. TOTal is trimming oil-refining ca-pacity by about 20 percent after the recession cut fuel demand. Chevron Corp. has hired Deutsche Bank aG for the 1.3 billion pound sale of its Pembroke refinery in Wales and U.K. fuel stations, it is reported. The plant has the capacity to process 210 000 barrels of oil a day. Royal Dutch Shell Plc has said it’s negotiating with Essar Oil ltd. to sell three European oil refineries including its Stanlow plant in Cheshire, England.

Hamburg will broaden Gilbarco Veeder-Root’s tank gauge and vapor recovery offering for our retail and commercial fueling customers”, said Peter Dilnot, President, Gilbarco Veeder-Root EMEa & asia. “Fafnir’s product portfolio, coupled with Gilbarco’s strong distribution and service network, will be of great value to our customers.” Fafnir’s prior owner, Dieter Sager, commented, “We are pleased to welcome Gilbarco as a partner that will enhance the outstanding success Fafnir has enjoyed since the company’s beginning over forty years ago. We are excited about joining our two businesses together.” Fafnir will retain its product brands and will continue to operate out of its Hamburg, Germany location as a division of Gilbarco Veeder-Root. Rolf Schaal and René albrecht will continue as Managing Directors of Fafnir.

new initiatives for forecourts.” Musgrave has also established a ‘Forecourt Forum’ where it works with its most successful forecourt retailers to recognise best practice and analyse ranging and availability issues. It has also developed a ‘space matrix’ to calculate the most efficient use of space for every new and refitted forecourt. In addition, forecourt specific planograms have been used to develop ranges for key categories. Smith concluded: “We’re planning to drive the forecourt business in 2010 through improved till execution and promotions, and macro and micro space changes.”

TCI Environment has moved its officesFrom april 1st you will now find TCI Environment International at the following address; Rijksweg 10 C, 1e verdieping / 1er étage, 2880 Bornem, Belgium. The tele-phone numbers remain the same.

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EU refers Shell asset sale in Greece to the Greek Competition Authority

brulines announces the acquisition of ELS

wincanton wins £ 112 million contract

Petrol retail. business, Payments and Technolo-gies. russia & CIS 2010

The European Commission (EC) decided to refer to the Greek Competition authority the examination of a proposed acquisition of Shell’s activities in the Greek oil sector by Motor Oil of Greece. On 27 January, the EC received a notification whereby Motor Oil would acquire sole control over Greek-based Shell Gas Commercial and Industrial and of Shell Hellas from the Royal Dutch Shell Group. Simultaneously, Motor Oil and Shell Overseas Holdings limited (SOHl, UK), a subsidiary of Royal Dutch Shell, would create a joint venture to be active in the

Brulines Group plc, the market leading provider of real time monitoring systems and data management services for the UK leisure sector, has announced that it has agreed to acquire Energy level Systems ltd. (“ElS”), the UK distributor of OPW Fuel Management Systems tank gauging solutions based in Market Harborough, from astoncrest Consultants limited. ElS was established in December 2008 to acquire the OPW Fuel Management Systems dis-tributorship, which it successfully achieved in February 2009. Immediately prior to completion of the acquisition, ElS will acquire the tank lining, liquefied petroleum gas and forecourt services businesses of Graphite UK ltd., also based in Market Harborough UK.

Wincanton has won two contract renewals worth £ 112 million with air Products and Chevron. The three-year deal with Chevron continues a 17-year partnership and is worth £ 60 million. Wincanton will collect nine billion litres of fuel from Chevron’s UK terminals, and deliver it to Texaco-branded petrol stations The air Products deal is worth £ 52 million over three years, and involves the logistics company transport-ing 80 000 tonnes of gas every month from seven air Products sites in the UK, mak-ing 100 deliveries daily. Wincanton Chief Executive Graeme McFaull says: “These new contract extensions are testament to the continuing strength of Wincanton’s core markets in the UK.”

On May 31st, 2010, PlUS Journal will hold in Moscow the 2nd International Forum “Petrol Retail. Business, Payments and Technolo-gies. Russia & CIS 2010”, dedicated to the urgent problems of the refueling business in Russia and the CIS countries, ways to solve them and prospects for development of the industry as a whole. The first Forum was held in 2009. Visa Inc. was the title sponsor. The Forum had also a wide range of partners, including Hypercom, VeriFone, INPaS, UniTeller, SCON, ScanTech, Ter-minal Technologies and Hectronic. More details www.plusworld.org

supply of aviation fuel at Greek airports. last September, Shell agreed to sell the majority of its Greek activities to Motor Oil (Hellas) Corinth Refineries in a deal worth 219 mil-lion euros. Shell owns 720 petrol stations in Greece. The Greek Competition Commission (HCC) argued that the affected markets were local in nature and it was better placed to appreciate the competitive impact of the operations. The EC accepted the argument that Greece would be best placed to assess the impact of the proposed transaction on the Greek markets.

SOCAr progress in UkraineThe State Oil Company of azerbaijan (SOCaR) is continuing to develop its busi-ness in Ukraine. SOCaR president Rovnag abdullayev informed that the Company had already acquired 20 gasoline stations in Ukraine and was working now on their re-branding. a terminal for storage of oil products has also been purchased. The Company established a similar sales network in Georgia, which now includes 33 stations and has a target of 50 – 60 before the end of the year.

New website for CECOdCECOD is the Committee of European Manu-facturers of Petroleum Measuring and Distri - buting Equipment, a non-profit association, providing facilities for its members to share technical information related to fuel measur-ing and dispensing technologies and processes. CECOD members work closely with European Member States and authorities in all relevant matters in support of its deep commitment to promote the unification of European legal Metrology, Safety and Environmental legis -lation together with its subsequent enforcement. To have a look at their new web pages please visit www.cecod.eu

erpec 2 – comes to barcelona

If you like football, It’s the same as The World Cup and the European Champion-ships. Every two years one takes place, but it seems an eternity between each event, un-less of course you happen to be organising it! For us we haven’t stopped working since we waved goodbye to everyone from the banks of lago Maggiore, back in spring last year and we are very excited to announce that next year’s event will take place in the five star, Rey Juan Carlos Hotel, in the centre of one of Europe’s top city destinations, Barcelona. The Rey Juan Carlos Resort, surrounded by its own tropical gardens, is located only ten minutes from Barcelona International airport, a huge logistical plus factor for delegates, especially for those travelling long distances.

Staying on a football theme, the ‘Kings’ hotel as it is known, stands in the shadows of the famous Camp Nou stadium, home to Bar-celona football club and for anyone who is interested, the venue have already granted us a facility to tour the stadium on one of the afternoons we are there. Back to business! Early bird booking forms will be available from May 1st for past delegates only and we hope most companies will sign up as soon as possible. Places, particularly for suppliers may be limited this time. Delegate places for new suppliers can be booked from June 1st onwards.

More details at this stage can be found at www.erpec.com

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Three new accreditations for Xmo Strata

Indigo and Edensure sign Strategic Partnership

NCT supply Petrol Plus system to Engen Petroleum

zeppini and Ecoflex announce joint venture agreement for local and international markets

Sign installation and maintenance firm, Xmo Strata, has added three new accreditations to its name. The accreditations awarded to the company and certified by ISOQaR – audi-tors for Quality, Environmental and Health & Safety Standards – include:OHSAS 18001 – the latest certification specification for Occupational Health and Safety Management Systems. ISO 9001 – the International Standard for Quality Manage-ment and ISO 14001 – the Environmental Management Standard

Indigo have announced the company has entered into a strategic partnership with Edensure, a wholly owned subsidiary of Brulines Group plc. The company says that taking data seamlessly from the Indigo EPOS, the combination will allow a fully integrated solution for wet stock data analysis. Baljit Tank of Indigo Retail commented ‘The integration’ gives real peace of mind to retailers, with the knowledge that wet stock data is sent to

NCT, a developer and supplier of custom-ized business solutions, has accomplished the installation of Petrol Plus loyalty and fleet cards system at the petrol stations of Engen Petroleum in Rwanda, africa. NCT supplied Petrol Plus system to pro-vide cashless payment operations between Engen Petroleum and its corporate clients

Zeppini and Ecoflex, both manufacturers of Petrol Station equipment, announced at the beginning of last month, the creation of a joint venture which consolidates the operations for the local and international markets. as a result a new brand “Zeppini Ecoflex”, with a new visual identity has been created with a full range of environmental products for

“We committed to providing the best service possible to our customers when the company was founded eight years ago and these ac-creditations have been one of the goals in this”, said Xmo Strata Managing Director, Steve Martin. “They tell the rest of the world what our customers already know, that we have some of the best management programmes and procedures in the industry.” Xmo Strata counts retailers, retail parks, financial services companies, and leading oil companies and forecourt chains amongst its customers.

Edensure automatically and regularly. This, ‘third eye’, will be invaluable to retailers in managing the most valuable stock commod-ity in their business. Phil Maud, Managing Director of Brulines Forecourt Division said, “The relationship with Indigo is a key develop-ment for Edensure; significantly increasing the number of forecourts we are working with and providing access to a strong customer base going forward.”

at 20 petrol stations in Rwanda. as part of the agreement NCT issued branded fuel cards, installed wireless POS terminals, and carried out integration with client’s ERP system. High safety of operation is significantly increased by Petrol Plus RFID module which performs additional identifi-cation of a commercial fleet by reading an RFID tag fixed at the vehicle. The given solution will considerably reduce the risk of fraud and unauthorized fuel consump-tion. loyalty and fleet card solutions are in high demand in african countries and both companies see this as a first step to-wards an extended cooperation for Engen’s petroleum retail operations.More details www.petrol-plus.com

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petrol stations. a joint statement stated that the objective of the joint venture is to bring larger competitiveness to dispute the national and international markets as well as adding the experience in technology, products line, logistics and distribution that will be strength-ened to assist the market and the growth of the demand in the next five years.

George bush to speak at PEI / NACS 2010

Eurotank signs ex-clusive European agreement with GEAEurotank Environmental limited, a leading provider of fuel storage system mainte-nance services, has recently completed the training of it’s key management staff in GEa’s extensive range of environmental testing and compliance solutions with full training being currently rolled out to it’s technicians based in Southampton, Manchester and East Kilbride. GEa’s products include Petro-tite, the worlds first EPa certified hydrostatic pressure and suction line leak detection equip-ment, which can pinpoint leaks as low as 40 million litres per hour. also Vapour panel, which measures pressure decay (system tightness) as well as vent / vapour line blockages and PV valve performance. This equipment has been developed and used extensively in the US and globally to provide early detection of underground line leaks and Stage 2 vapour recovery (VR) system performance. Eurotank has been selected by GEa as it’s European partner and as well as providing these services to the UK and Ireland downstream indus-try, is seeking to find partners in other European countries. Edward Wheeler, Managing Director of Eurotank stated: ‘‘We are honoured to be selected as GEa’s European partner. If a retailer has a non pump related Stage 2 problem, Eurotank is the company to contact.”

Registration and housing is now open for the PEI / NaCS Show 2010, the USa’s most comprehensive event for petroleum retailing professionals. This year’s NaCS Show will take place October 5th to 8th at the Georgia World Congress Center in atlanta and hot off the press is news that President George W. Bush has been announced as a closing general session speaker. Full registration, which includes admission to the general sessions, work-shops, expo and the Welcome Reception, is US $ 275 for NaCS members and US $ 425 for all other attendees. This super-saver rate is available through august 13th. Other rates apply for one-day registration or expo-only registration. Exhibitor registration will be available in June. Organisers say that more than 22 500 attended last year. More details www.pei.org

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AdvErTISEMENT

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Engen plans to take over bP assets in African countries

Shell sells New zealand fuel retailing assets

vietnam fuel companies given more pricing freedom

SPAr signs deal over d-Store POS solution in South Africa with POS Systemhaus from Austria

Growing oil company Engen plans to take over the assets of its rival, BP, in the countries from which BP is pulling out. BP announced last month that it will be pulling out of five south-ern african countries as a result of a strategic review. a top Engen official said the company will take advantage of this opportunity and buy BP assets as part of its expansion strategy and penetration into new markets. “We’re on a growth programme and they’re selling assets”, Wayne Hartmann, Engen’s General Manager for international business, said in an interview in Cape Town. “We’re very small in Tanzania and missing in Malawi.” While some of its rivals are reducing activities in africa, Engen has a “positive outlook” on the continent and rolled out a record 30 sites last year, Hartmann said. While the company has a “healthy balance sheet”, a stock exchange listing to fund acquisitions has not been ruled out, he said. Engen, which has 40 filling sta-tions across Botswana, is already listed on the Botswana Stock Exchange’s foreign board and is the third largest oil company in Botswana

Royal Dutch Shell Plc agreed to sell its New Zealand fuel-retailing assets to Infratil ltd. and the New Zealand government pension fund for NZ $ 696.5 million (US $ 492 million) to focus on oil and gas production. The parties have been in exclusive talks since November. Shell, Europe’s biggest oil company, is selling its New Zealand fuel-retailing and refining interests as

Vietnamese fuel traders have been given more autonomy in adjusting prices based on market supply and demand, but the government will continue to oversee their pricing, an official informed. “It’s not correct to say the govern-ment has given fuel companies the right to set prices on their own”, Deputy Industry and Trade Minister Nguyen Cam Tu said. “Fuel companies are only allowed to decide prices

SPaR (South africa) has signed a deal to implement D-Store, the POS software solu-tion from austrian company POS Systemhaus, across its international store network. Initially, the checkout software will be installed at all newly-opened outlets beginning this year. In addition, all retailers already associated with the group both in South africa and abroad with their approximately 7 000 cash registers will be equipped with the new software within

after BP and Shell. In a statement last week, BP africa CEO, Sipho Maseko, said he was confident the businesses they are looking to sell will offer good value and great potential to a purchaser, particularly given the strong economic outlook of the region as whole. “a new owner can build on our good assets and grow the business further”, he said. “all of our operations are leading marketing businesses with strong market shares, well-run operations, experienced and capable employees and strong health and safety performance.” BP, which has been in africa for over 80 years, has been operating in Botswana as an independent company since 1975 when it split from Shell. BP Botswana has over 40 retail sites across the country where it has been competing with Shell, Engen, Caltex and Total. If Engen takes over BP in Botswana, it stands to enjoy the latter’s wide range of customers and contracts, among them Debswana, BCl, BDF, the government’s Central Transport Organisation, as well as big construction firms and transport companies.

part of a global focus on production in expand-ing markets. Infratil’s purchase makes it the nation’s biggest fuel retailer at a time when low returns are driving out independent operators and prompting global players to review their interests. The Shell assets comprise 229 filling stations, 95 truck stops, port terminals and a 17 percent stake in New Zealand Refining Co.

to a certain extent.” Since December 15 last year, the government has allowed fuel traders to raise pump prices automatically without seeking government consent if world prices rise by seven percent or more. Tu’s comment last week was in response to a question as to why, after the deregulation, the Finance Ministry last month still asked fuel traders to temporarily halt all price hikes to control inflation.

the next three to five years. The announcement comes after a successful 12 month run of pilot installations. Enno Stelma, CIO of SPaR (South africa), said the software’s “wide base of installations convinced us that D-Store is absolutely applicable for the african market.” The software will be used in combination with Windows XP and Windows 7. D-Store is also deployed by SPaR austria and in all country operations of German Rewe Group.

downstream strate-gies of ExxonMobil in New zealand

Smartflex piping sys-tems selected by both Oman Oil and ENOC

OPw opens new manu-facturing facility in India

bahrain: Privatisation plans are unveiled

a shake-up in petrol station ownership looks set to continue as global oil giant ExxonMobil continues to investigate the potential sale of its New Zealand distribu-tion and retailing, or downstream, business. Two parties are looking at ExxonMobil’s downstream operations, which include 183 petrol stations and a 19.2 percent stake in the country’s only oil refinery, the New Zealand Refining Company.

Smartflex has been selected by Oman Oil for its double wall fully coaxial pip-ing and fittings system, which the com-pany says has the latest international and local approvals. It has also been chosen by ENOC for their new sites in Dubai and neighbouring areas.

OPW Fueling Components have announced the opening of its newest manufacturing facility in Chennai, India. This state-of-the-art manufacturing facility is, the com-pany says, part of OPW’s global expansion strategy and demonstrates commitment to localize its presence in the markets it serves. President David Crouse said “This is a proud moment for our company as it represents our dedication to align ourselves as close as possible to the customers we serve. With this new manufacturing facility, we will be able vastly enhance our customer service levels.”

Petrol stations owned by Bapco in Bah-rain could be tendered to the private sector at the end of the year, according to Economic Development Board chief executive Shaikh Mohammed bin Essa al Khalifa. Bahrain also plans to privatise the country’s loss-making carrier Gulf air and other public services like hospitals and waste management companies, as it seeks to diversify its economy from oil and build up a viable private sector and a tax-based economy.

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PTT looks beyond the pump in Thailand

Caution over impending bP Africa share transfer

“PTT Plc, Thailands national energy conglomer-ate, will start its five-year plan to improve its petrol stations’ image, shifting more to service businesses as they offer higher profit than petrol”, says Vitaya Wangchitaruck, Execu-tive Vice President for PTT Retail Marketing.“The image overhaul will begin next month and run until 2014”, he said. PTT currently operates 1 100 stations across Thailand in three categories: ‘pump in the park’, platinum park and standard pump. Pump in the park is for high-traffic areas with big potential sales volumes. PTT’s new design will add more service businesses, such as banks, restaurants, minimarts and CD shops. This requires more than six rai of land for each station and an investment of more than 60 million baht. The company aims to increase its pump-in-the-park stations from 22 to 100 by 2014.a platinum pump site requires only one to four rai of land. Petrol sales volumes are lower and there are fewer service outlets. PTT aims to have 400 platinum pump stations. The other 700 standard pump stations are in locations with less traffic, requiring just one 7-Eleven convenience store. “The new designs for these three concepts will be finished by next month”, said Mr. Vitaya, adding that the total budget was still being determined.Most of the large, pump-in-the-park units, are operated by PTT itself. However, PTT owns only 30 percent of its 1 100 station sites. The

an energy expert has challenged the govern-ment through the Zambia Competition Com-mission (ZCC) to ensure that the impending share transfer of BP africa does not land in the hands of other international oil companies aloneCommenting on the proposed sale of 75 percent shares by BP africa, a South african-based Zambian petrochemical consultant said the trend of international investors leaving their assets on the laps of another international company when they get tired must not be treated as business as usual.The consultant stated that the country should not experience what happened when aGIP and Mobil pulled out and outlets were sold to Total thereby making Total a dominant company. He

remaining 70 percent are owned by landlords or oil dealers, or are joint ventures between PTT and landlords. “The sales and profit figures in the past have proven our theory that non-oil business can bring us higher profit than selling petrol alone, as the competition among petrol stations is tough and margin per litre is very low”, said Mr. Vitaya. “We will maintain this new look until 2019 after we have completed the current re-imaging in 2014. another big change will be made again later that year.”PTT’s major partners in the non-oil business include 7-Eleven for convenience stores, ama-zon Cafe’ coffee shops, Pro Check for car care and Krungsri ayudhya for banking services.

“These three service businesses have their loyal customers. Combined with PTT customers, it could translate into more customers for all of us”, Mr. Vitaya added.The 7-Eleven stores at PTT stations total 800 and will reach 900 by the year-end. It now has 390 amazon Cafe’ outlets, expected to exceed 500 by year-end. The company will maintain all 146 minimarts run under the Jiffy brand, which came along with the national network of Jet petrol stations, which PTT acquired from ConocoPhillips three years ago. The Jiffy mart has a strong reputation among motorists. It has a significant amount of big fans. “also, we can learn from the management system from Jet to improve our existing system in some aspects”, said Mr. Vitaya.

added that the departure of long time investors present a unique opportunity for indigenous entrepreneurs to take over.The consultant added that BP Zambia owns and controls some of the wealthiest sites in Zambia. “Without undermining the burden of other international oil companies seeking for more glory by buying the assets of BP, the government must ensure that this company is unbundled site by site including the lucrative sites that are in the mines.” at lumwana mine alone, the sales output is more than one million litres per month while some filling stations sell a paltry 150 000 litres per month. BP africa has announced its intention to pull out of Zambia, Namibia, Malawi, Tanzania and Botswana.

Fuel pricing to be uniform in zambia

Petrol pump owners announce shutdown in bangladesh

The local government says it will introduce uniform pricing of fuel and other petro-leum products across the country in June this year. Minister of Energy and Water Development Kenneth Konga informed the Parliament that Government is working out measures to ensure that the pricing of fuel is at the same level, both in urban and rural areas.

Petrol pump owners announced a half-day countrywide shutdown of filling stations in Bangladesh on one day last month to enforce a 13-point list of demands which includes increasing commission on the sale of petroleum products to 7 percent from the existing 2.7 percent, constructing a terminal, awarding licenses for weapons to pump owners, stopping harassment by the police, stopping pilfer-age of petroleum products in the depots, formulating petrol pump establishment policy and introducing an insurance policy for the tank-lorry drivers. Who said selling petroleum was easy!

woolworths Australia switches on renew-able energyWoolworths is trialling the use of renew-able energy to partly power its petrol stations. The company switched on the solar panels at its Belconnen outlet, in northern Canberra, in what it claims to be an australian first. It is the first time a major retail company has generated on-site renewable energy, it said. The retailer expects the panels will generate about 15 percent (or 60 kilowatts) of the site’s total energy needs – enough to power store and bowser lighting. If the Belconnen trial and another at Hume in the aCT are successful, solar panels will be rolled out at other outlets throughout the country, but only where incentives are offered. “at the moment costs are prohibitively high and incentives like the aCT gross feed-in tariff are needed to give renewable energy generation a kick start”, Woolworths head of petrol, Ramnik Narsey, said in a statement.

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Unpopular fuel scheme scrapped in Malaysia

Ensign Services announces reverse merger in vietnam

russia’s LUKOIL exits Iran under US pressure

In India, Mumbai gets its new stage Iv fuel

Ensign Services Inc confirmed that it completed a reverse merger with Tin Nghia Petrol Joint Stock Company in august 2009. The manage-ment believes the reverse merger transaction is one of the first successful reverse mergers of a Vietnamese company on the U.S. stock exchanges. The company intends to complete a name change to Timex assets and Services. Timex has 28 petrol stations along major routes in Vietnam’s Dong Nai province and is one of the key suppliers of gasoline to factories in

With the new Bharat Stage IV emission norms in effect since 1st april, the main Indian oil companies have prepared to meet the require-ments of the city of Mumbai. The Mumbai metropolis requires more than 80 million litres of fuel every month and three oil companies will supply both petrol and diesel through their existing 243 outlets. Bharat Petroleum has 97 service stations, Hindustan Petroleum has 97 service stations and Indian Oil Corporation has 49 service stations in the city of Mumbai. “Mumbai requires at least 80 million litres per month and the three companies will supply the BS IV fuel through their 243 outlets”, BPCl’s General Manager (Retail), West Region, PC Srivastava, said. The city requires 49 million

the region’s industrial parks. additional gas stations are planned within the next four years. The company intends to expand its business through the acquisition and construction of additional gas stations on major national routes and industrial parks. Such growth plans would utilize what management believes is the company’s current competitive advantage of having an established network of gas stations and strong brand recognition to capture ad-ditional customer loyalty and spending dollars.

litres of regular fuel and 40 million litres of diesel per month. BPCl has already started supplying 15 million litres of BS IV fuel through its service station network of 97 outlets, Srivas-tava said. “The petroleum sector has constantly endeavoured to provide clean and green fuels to Mumbaikars”, he said. India adopted stricter emission norms under which 13 major cities have been upgraded to BS IV from BS III as per the recommendations of the Mashelkar Committee to control pollution from april.

Temporary filling stations setting up on Algerian East-west motorway

Fuel shortages con-tinue in Uganda

The algerian Public Works Minister amar Ghoul, announced the setting-up of several temporary filling stations along the com-pleted sections of the East-West motorway in algeria.16 temporary filling stations in total will be set up soon in collaboration with the national company Naftal, pend-ing the launch of calls for tenders for rest and service areas for the users of the 1 216-kilometres long motorway.

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The Malaysian Government has officially scrapped its plan to introduce the two-tiered restructuring of fuel subsidy following negative feedback from the public. The plan, originally set to be implemented on May 1st, was to in-troduce a two-tiered pricing system for petrol based on engine capacity while foreigners would have to pay the market price. It called for the mandatory use of MyKad to differenti-ate Malaysians from foreigners, requiring the need for MyKad readers at petrol stations. a government statement said “the price of fuel would remain the same for now as there was no

directive to announce any hike. The statement went on to say that they do not know when that will happen but the public must remember that fuel price fluctuates.” Foreigners can still purchase fuel according to petrol pump price. But the policy governing the sale of petrol to foreign-registered vehicles at border areas remains, and according to a ministry official, the ministry would be proposing to the Cabi-net another “policy for foreigners”. Currently, foreign-registered vehicles are only allowed to pump a maximum of 20 litres at petrol stations within 50 kilometre radius from the border.

Russia’s largest privately-owned crude oil producer has announced it is pulling out of Iran’s anaran oil project due to sanctions imposed by the United States.lUKOIl Vice President leonid Fedun said that it was impossible for the company to continue to participate in the anaran field as long as US sanctions are in force. The anaran block in western Iran is estimated to have reserves of 2 billion barrels and was operated by a consortium of Norway’s StatoilHydro

(75 percent) and lUKOIl Overseas (25 percent). although seemingly pulling out now for the time being, the head of lUKOIl’s overseas production arm insisted during a March 24 presentation in london that the company was not abandoning Iran altogether “We aren’t saying goodbye”, said andrei Kuzyaev as he presented the company’s US GaaP statement for 2009. “It’s just the principal position of our auditors and doesn’t mean that we lose the rights to that project.”

Fuel shortages continued in Uganda this month, after the government admitted that its reserves have run out. State Minister for Energy Simon D’ujanga said their Jinja reserves have no fuel because they are being refurbished. “We are now relying on the reserves from the fuel companies”, he said while giving the government’s view on the shortage at a public meeting. The refurbish-ing of the reserves has been ongoing since the late 2007 political crisis in Kenya broke out, even though Mr D’ujanga said they will be ready by July / august. Throughout the Easter holiday, most service stations in and around Kampala had no petrol and those which had it sold it between UGX 2 900-UGX 3 200. Kobil Uganda’s Marketing Manager Peter Ochieng in an interview with Daily Monitor said the Easter holiday made the situation worse because they could not load the fuel. Earlier in the month, Kobil delivered close to 50 000 litres of petrol in one week and expected another close to 700 000 litres to arrive into Uganda next month from Dar and Mombasa port, ac-cording to Mr Ochieng. Engen Uganda’s Managing Director Fredrick Gibson said they have less than 1 000 litres of fuel in Kampala. Commenting on the delays in the construction of the oil pipeline by Tamoil, the minister said they are still discussing with the government of Kenya, to have a reverse effect of the pipeline so that it can do both the importation and exportation of oil, when the country starts exploration of its oil. as a medium term solution to avert to situation, Mr D’ujunga said; “The government is looking into the alternative sea route through Tanzania as the country awaits its long term solution of oil exploration being developed in South Western Uganda.”

Celebrating 60 years of success

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ISTObAL

When I first thought about the idea of pro-ducing erpecnews, getting out of the office and meeting erpec delegates in their own surroundings was the main drive behind the concept, which I am pleased to say has resulted in a great many worthwhile experiences for me over the last two years and hopefully some interesting features for the magazine. But for me personally there was always going to be something very special about visiting a major factory, probably because, due to my marketing background I have never actually been asked to make anything in my life. On a personal level I did once craft a wooden chair at school which my parents still use for the cat to sleep on, but apart from that my manufacturing skills are non-existent.So the chance to visit Istobal HQ and their factory, just outside Valencia in Spain, was an opportunity I could not afford to miss, especially as the company involved, widely considered as one of the world leaders in the vehicle washing industry, operates the lean manufacturing system created by Toyota

on their manufacturing and assembly lines. Since 1972, Istobal has designed engineered and manufactured car washes, accounting for over 40 000 units in operation across 67 countries in the world today. Prior to this, the company, which was founded in 1950 and this year celebrates its 60th year in business, manufactured greasing machinery and car lifts for the garage equipment sector. Originally, its founder, Ismael Tomás alacreu, had experienced considerable success with a lubrication machine which led to developing a strong business in the motor trade industry, but for many years now Istobal have solely produced car wash machines. Today employees at Istobal account for over 550 workers at its Headquarters 20 minutes from Valencia’s city centre. Worldwide presence centres around 50 distributors covering most of Europe and as far away places such as New Zealand, Mexico, UaE, Russia, USa and argentina. So it was to the very picturesque old town of l’alcúdia, the name of the location where Istobal’s offices actually are, that I went, ac-

companied on this occasion by PetrolPlaza team member Sandra Stroppel. as it happens Sandra also speaks fluent Spanish, having previously lived and worked in the Valencia area. This for me was always going to be a bonus should we get lost, or experience any problems, as my ability to speak Spanish is limited at best. anyway, me getting lost, hav-ing problems, needing help, not a chance, as I was a hardened business traveller prepared for anything! Read on.

The Istobal HQ site is huge, there is no other word for it, occupying a total area of 80 000 sq. metres. Interestingly enough though, the company has never had to move from its original base, where in 1950 orange trees surrounded a small repair shop, the building where it first started out. Replacing the orange trees since is a vast factory and impressive office buildings which very much incorporates most of what Istobal do in the car wash industry today. In charge of Corporate Marketing at Istobal is Sonia Mañas, who accompanied by

Left to right: Javier díaz, Sonia Mañas, david Casanova

by Nick Needs

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Key account Manager David Casanova and Market Development Manager Javier Díaz, were our primary meeting partners for the day. after a quick briefing in the boardroom we were quickly moved on to meet with the Quality Manager Álvaro Vilar and the lean Support Manager Javier Correa, who would take us on to the factory floor and guide us step by step, through their manufacturing procedures. as mentioned earlier in this article, Istobal’s production line is based on the lean manufacturing system, fashioned and styled originally by Japanese car manu-facturer Toyota, the principles of which are used throughout the world today by some of the largest manufacturers in the world. The lean manufacturing system is also known as lean Production – ‘Doing more for less’, driven by five key areas of manufacturing. Cost, quality, delivery, safety and staff mo-rale. Underpinning this, as Álvaro and Javier explained are seven key principles.

Reduced Setup Times: all setup practices are deemed to be wasteful as they add no value and tie up labour, so by organising things differently, workers are trained to do their own setups. Small-Lot Production: Producing things in large batches results in high-speed dedicated machinery costs, extended lead times and larger defect costs. Employee Involvement and Empowerment: Organise workers in teams with a team leader and give them each the responsibility and training to do many specialised tasks. Teams should be given responsibility for housekeeping and minor equipment repair. Quality at the Source: Since workers are in the best position to discover a defect and to immediately fix it, they are assigned this responsibility. If a defect cannot be readily fixed, any worker can halt the entire line by pulling a cord called a Jidoka. Equipment Maintenance: assign operators primary responsibility for basic maintenance, since they are in the best position to defect signs of malfunctions. Pull Production and Just-in-time: The quantity of work performed at each stage of the process is dictated solely by demand for materials from the immediate next stage. Supplier Involvement: Suppliers are partners and an integral element of the lean manufacturing. Suppliers are trained in ways to reduce setup times, inventories; defects, machine breakdowns etc., and take respon-sibility to deliver their best possible parts.

For someone like me who had only ever made something you might sit on, the whole proc-ess as explained to us was truly fascinating.It was no surprise that we started our tour where each factory worker starts every morn-ing, at one of the 20 group meeting points

or GaP’s spread throughout the factory. In keeping with the lean manufacturing model we are shown yesterdays production figures, how the group is performing to overall tar-gets and made aware of any problems that need dealing with. Usually workers spend 5 minutes doing this everyday and they seem to unreservedly welcome it. Going too far maybe, might be to say that they almost seem to generate a degree of pride from the whole process. all the information workers see is designed to allow them to operate on a more informed basis, whilst having a group hug at the same time i.e. serious bonding with other members of the team, which normally amounts to 10 – 15 people in each.

We were told as we walked around that the Product Development Department has the challenging task of applying new technological advances to the design and manufacture of Istobal’s products. The engineers work with a combination of the most up-to-date CaD design and CaM construction programs to achieve optimum levels of quality. The designs are taken from high tech computers and turned into real products by the different sections of Istobal’s workshops, where, part by part, the various components of Istobal’s products are made. The robots used in the car industry also play an important role in the Istobal plant, where they are used in the welding process. The company say they take great efforts to guarantee the quality of parts and machines through on-going training programmes and by integrating new quality control systems into the processes of manufacturing and assembly. The Treatment of Surfaces Workshop was also fascinating and ensures that the various metal parts that make up the product get the most suitable protective coatings and finishes. The steel structures actually go through a five stage process: Stripping, Hot dip galvanizing, microcrystalline phosphate coating, Epoxy polyamide primer coating and finally a two component polyurethane resin coating. There are 21 stages in the whole process.

The latest piece of equipment in Istobal’s high tech production line is the Nordson Prodigy Power Port. a ‘Star Trek’ type spray paint machine in plain English, which is more akin to an amusement park attraction the way it allows large multi coloured pieces of steel to be effortlessly moved around in a start finish cycle, suspended high above the factory floor. Throughout the visit we regularly stopped at other GaP’s meeting points to see a different set of tables, group targets and key initiatives, designed for another group of workers, but also it meant we had time to enjoy another cup of strong Spanish coffee, which I have to admit on a number of occasions I

Sandra Stroppel from petrolplaza, meets Quality Manager Álvaro Vilar, Lean Support Manager Javier Correa

the first stage at which we see recognisable car wash parts

the Lean production process being demonstrated by Álvaro and Javier at one of the 20 Gap’s meeting points

the nordson prodigy power port, sending ready painted batches of car wash parts across the factory floor

one of eight car washes manufactured that day, for oMV

ISTObAL – CELEbrATING 60 yEArS OF SUCCESS

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ISTObAL – CELEbrATING 60 yEArS OF SUCCESS

would have traded for a nice cup of English tea. Then again coffee is what everyone else drinks in the factory so why shouldn’t I and it was great to see that there is a drinks trolley, not a vending machine, offering workers a personal service, something which today you will not see too often in the UK. Next stop, quite literally was what I can only describe as ‘Istobal Central Station’. This transportation hub is a vital ingredient in the ‘Just-in-time’ process through which a constant flow of small containers pass, carrying materials to the next stage of their manufacturing proc-ess. as mentioned earlier in the seven lean manufacturing key principles, the quantity of the work performed at each part of the production process is dictated solely by de-mand for materials from the immediate next stage. This ‘Tren’ Spanish for train, operates throughout the whole factory and keeps the whole manufacturing and assembly process on track, showing departure and arrival times on a board just like any other railway timetable.I suppose seeing the end product, having fol-lowed a process from start to finish, will always be where most people get the greatest buzz, for want of a better word. We have seen steel cut, welded, assembled and painted. Watched the electrical components being loaded into their various positions and witnessed how brushes are put together through a process unique to Istobal, prior to the machine, which it has suddenly become, being slotted onto one of six roller tracks, leading ultimately to the outside world, where it will hoisted onto a lorry and transported to its ultimate destination. In a normal day Istobal make eight machines of sorts and we were lucky to see one just finished for OMV, destined for somewhere in austria. The range of car wash related products actually manufactured by Istobal is extensive and includes Roll-Overs, Washing Drying Tunnels, Payment Terminals, Jet Washes, Enclosures, Water Treatment equipment, Washing accessories, plus a whole range of commercial wash solutions. Their top selling ‘M’ range of Roll-Overs, is without doubt their star line, but my feeling, having spent a day with this group of extremly

innovative people, is that there is much more to come in the future. Sonia Mañas kept hinting to me that there will be something exciting to see at this year’s automechanika in Frankfurt, but every time I pushed her on the matter she said “You will have to wait and see” Sounds promising!Back in the offices for half an hour, I met with long time erpec delegate and Managing

Director of Istobal, Rafael Tomás and he had time to tell me briefly where Istobal’s focus is right now: He said “There are two main focus points this year regarding markets: one is to finalize our consolidation in the European market, especially in Germany where we have gone through a strong modification of our current organization. Our second focus is the North american market. The main tasks of our Product Development Department regarding Europe, is to improve even more the reliability of our products with new developments, while in North america our main objective is to continue adapting our products to the needs of this particular market. In general terms our strategy is based on hearing our clients, mainly the Oil Companies and making sure that first we understand their requirements and secondly that we are able to give them exactly what they need and to be able to do this everywhere in today’s globalised market”.

after a nice “Paella” for lunch with the team, what else would you expect, we said our thank you’s and headed for the airport, but as we were exceptionally well organised, we had an hour to spare, so Ms Stroppel and I

went to see the City of arts and Sciences, a famous modern landmark in Valencia. For me it will always be famous as being the place where I lost my hire car keys! a 200 kilometres drive to alicante followed, from where I had originally rented the car, to get the spare set of keys, in another car I had to rent. I was one hundred and fifty kilometres on my way back from alicante to Valencia, before I realised the car hire company had given me the wrong spare keys. another one hundred and fifty kilometres back to alicante and I finally get the correct set of keys fol-lowed by another 200 kilometres drive to Valencia, before driving the second rented car back to Valencia airport and getting a taxi back to the first one, which luckily was still there. another 200 kilometres and eight hours later than I should have been there, I was back to alicante checking into a hotel at 11 pm, having missed two flights home in the process. Sadly, they had just stopped doing food. luckily, Ms Stroppel was able to leave on her scheduled flight many hours earlier, as like any hero, I insisted she should leave and I would sort out the logistical nightmare I was presented with … and she did! However, through all of this there was an unexpected bonus for me. Whilst driving around Valencia that evening, totally lost I must say, I witnessed the most spectacular display of street lights I have ever seen, evident in every road I drove down, attributed I have since learned to Va-lencia’s annual Festival called “The Fallas”, which involves extremely loud fireworks, lots of dressing up and a great deal of drinking.

So, if like me, you ever lose a set of car keys in Valencia at this time of the year, I recom-mend you simply tell the rental company the car has been stolen; you buy some carnival clothes, locate yourself in the nearest bar and wait for the car rental company to come and sort everything out. after all, they said it would take 2 – 3 days, which for this particular festival is probably just about right.

For more details visit www.istobal.com

Managing Director of Istobal,

Rafael Tomás

the ‘tren’ timetable at istobal Central Station with depar-ture and arrival times, just like any other mainline station

Álvaro shows the just in time process, where only the parts for the next job are held at any particular work station

Valencia’s annual Festival called “Fallas”, a must see for anyone visiting town in March with time on their hands

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3A Composites GmbHMr Michael KnausSales Manager CIDAlusingen-Platz 178224 Singen / Germany

Tel. +49 (0)7731 80 20 87Fax +49 (0)7731 80 32 [email protected]

ALUCOBOND® has been the world market leader for aluminium composite materials since 1969. Due to its excellent product properties, ALUCOBOND® is the ideal material for Corporate Identity Programmes when it comes to building new or re-imaging existing petrol stations.

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GILbArCO vEEdEr-rOOT

by Nick Needs“Everything we do is driven by technology”

Gilbarco Veeder-root, eMea & asia president, peter dilnot the GVr Flexpay B2B outdoor payment terminal a GVr SK700 – ii n fuel dispenser with a multi media Crind

The last time I visited Gilbarco in Basildon UK, it was for a meeting with their much respected Sales Director John Blake, back in 1990. I think Gilbarco had just acquired the business of rival pump manufacturer avery Hardoll and I wanted to find out about any re-organisation which may happen as a result. On my return last week, I could not help noticing that the GVR European HQ reception had a familiar feel to 20 years ago, but with a much more modern twist . I mentioned this to the receptionist on duty and she told me that she had been working there for 14 years and her Mother did the job before her. Comforting as you get older, to know that some things, very often regarded as incidental, can survive two decades of change. avery Hardoll was in fact the first of many acquisitions to be made by Gilbarco in the coming years. John Blake sadly died over 10 years ago.In this industry, Gilbarco-Veeder Root is one of the first companies instantly coming to mind, when the subject of retail petroleum equip-ment and technology is broached. Owned by Danaher, listed on the New York Stock Exchange and Headquartered in Greensboro USa, GVR have an annual revenue figure which exceeds US $ 1 billionv and employees 4 000 workers in the process. There are 400 GVR distributors around the world, supporting key customers at a local level, being Multi National Oil Companies, Supermarkets, HVR’s, Independent dealers and Commercial refuelling outlets. In company literature, Gilbarco Veeder-Root is defined as being ‘a combination of companies in the petrol forecourt industry’, a statement which becomes clearer when looking at the individual companies making up the GVR group.It was in 1865 that Gilbert & Barker first estab-lished the foundations of Gilbarco in Springfield

Massachusetts USa and by 1910 the company had developed a TI push-pull petroleum pump, which 66 years later led to their first electronic gasoline pump in 1976. Veeder-Root, founded in 1866 as the Root Company and subsequently acquired by Danaher in 1986, developed their first mechanical computer for Gasoline pumps way back in the 1930’s. Red Jacket, another primary company in the GVR Group, was first established in 1878 and has been developing pumps and leak detectors out of Davenport in the United States for over 60 years. More recent acquisitions for GVR have included US companies Gasboy and alki in 2003. Gasboy is a leading manufacturer and marketeer of com-mercial electronic and mechanical petroleum dispensing systems, fleet management systems and transfer pumps and alki is a Seattle-based technology developer and software-licensing company. In 2004, leading forecourt controller provider DOMS joined the group from Denmark, followed by US software company Intermedia Kiosks in 2007. Swedish forecourt automation company autotank, which developed the world’s first banknote payment terminal in 1974, came into the group in 2008. last year the big acquisi-tion was Postec from New Zealand, a company with a strong portfolio of hardware and software for forecourt control, wet stock management, outdoor payment and central reporting, which brings with it, its installed base of almost 10 000 sites in Oceania, India, South East asia, Middle East and africa.Today as I write this article GVR have just finalised two more acquisitions, the first being the Ham-burg based company Fafnir of Germany, which offers a broad range of tank gauging and vapor monitoring technology for fueling operators, as well as sensing products for the process industry.

The second company acquired is Mumbai based larsen and Toubro, the Indian industrial conglom-erate which manufacturers, sells, integrates and services petroleum dispensers, lPG equipment and automation systems solutions, together with its installed base which is composed of multi-national and regional companies, primarily in India. Both extremely significant acquisitions in their own right, but for the common goal, they fit in perfectly with GVR’s technology led strategy, which has been the main thrust behind every company they have bought in the last 10 years. My meeting partner for this visit, 20 years on from the last time, was with EMEa and asia President, Peter Dilnot, to ask him specifically where the company focus actually is right now. I wanted to know if getting bigger means it’s get-ting harder for GVR to keep in touch with their partners, distributers, installers and eventual end users of their products and also ask what Peter sees ahead in the future, that we might expect to find on an everyday forecourt say in the next 20 years. I hoped it may also be possible for Peter to tell me a little bit more about the emerging markets of India and China where he has spent a great deal of his time over the last few years. Finally, as the acquisitions subject was topical, I wanted to ask him about the l&T and Fafnir deals.On meeting PD, who shall be referred to as such in the following interview, I realized the things we had in common were quite limited, him having been an officer and helicopter pilot in the British army and me, who sees driving a tractor around our farm as something dangerous and exciting, having never really enjoyed the scouts. Strangely enough though, I discovered early on in our chat that we had both worked as cashiers at a petrol station in the twilight of our youth, me in london and Peter in Wales. How

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GILbArCO vEEdEr-rOOT

weird is that considering what we are both doing today? anyway after quickly agreeing that the pay for such a job in those days was scandalous and after acknowledging that the products on sale in a forecourt shops back then were limited to a few sets of windscreen wipers that nobody wanted, a rack of spray paint with all the popular colours missing and various out of date batteries, we swiftly moved on.Having graduated at University as a Mechanical Engineer, Peter is clearly driven by the nuts and bolts of a project i.e. the physical components that make something work. He has had a long association with GVR, advising at a corporate level with Danahar, whilst working for The Boston Consulting Group for seven years, prior to taking up the role of EMEa Managing Direc-tor in 2005. last year, after taking on additional responsibilities for emerging markets including China and India and with a new bolder title, Peter says his geographical brief is “pretty much most of the global business outside the americas and australia”.

NN: Peter can you first explain how the two new acquisitions, Fafnir and L&T, fit into the GVR stable?

PD:It’s been a really exciting time for Gilbarco Veeder-Root recently on the acquisition front. We always actively look to buy businesses with innovative technology that helps retailers operate their networks more profitably. In addition we also value businesses with established regional presence and customer relationships – especially in emerging markets. Our plan is to build a combined platform of world-class technology, deployed and supported locally. Our two latest acquisitions, both of which closed in March, fit exactly with this vision. Our acquisition of the PDP business unit of Lar-son & Toubro (L&T) brings both technology and improved coverage in India. L&T have a proven product range that meets emerging market needs, plus an outstanding engineering team that can develop our combined portfolio. There’s also a state-of-the-art new manufacturing facility in Southern India which can produce high quality products for export globally. In addition to the technology, L&T have some good relationships with India’s leading players, plus a comprehensive nationwide service network to support national networks. The purchase of Fafnir is again driven by tech-nology. They have an extensive product range covering liquid measurement and vapour recovery that complements our existing GVR portfolio. In illustration, the Vaporix solution for vapor recovery monitoring uses innovative sensor technology with no moving parts. This leads to exceptional reli-ability and product lifetime. Finally, Fafnir also has a comprehensive global network of distributors and service agents. So by adding L&T and Fafnir to our family we aim to offer customers an even broader range of technology, as well enhance our ability to support them locally.

NN: As a group that has come together, mainly during the last 10 years, what is GVR’s focus right?

PD: Gilbarco Veeder-Root’s focus is enabling retail-ers to operate their businesses more efficiently and profitably. As well as fuel retailing technology we provide integrated solutions for convenience stores. This is important given many of our customers’ profit pools continue to move towards dry goods. More specifically, we enable our customers to be more profitable through three core levers. First, we can assist with increasing our customers’ revenue. Examples here include speeding up transactions, increasing throughput, better merchandising and customer loyalty. Second, we can reduce our customers’ cost of operations, through increasing uptime, incorporating remote network manage-ment, reducing fraud and helping identify fuel losses. Thirdly, we support our customers with environmental and complete site protection.From my perspective Gilbarco Veeder-Root must provide solutions that deliver concrete, quantifiable value for our customers. We need to enable our customers to be more profitable and successful – and that’s our focus wherever we operate in the world.

NN: Is technology the key to everything GVR do? It is noticeable that the companies recently com-ing in to the group have all been technology led.

PD:First and foremost, Gilbarco Veeder-Root is a technology company. We invest very significantly in developing solutions that enable our customers to operate more efficiently and profitably. We do this through internal GVR programs, new busi-ness acquisitions, or technology-led partnerships. Whatever the approach, the critical question for me is always, ‘what value does this technology re-ally bring to our customers?’ If you can’t quantify value or return from a customer point of view then technology is meaningless. One important point on Gilbarco Veeder-Root’s technology is how we think both globally and locally. We see real value in global technology – through innovation, increased scale, global R&D programs and large proven field installations. Clearly with our global footprint and heritage, we pride ourselves on delivering innovations and breakthroughs – for example, like the world’s first precision axial-flow meter. However, at Gilbarco Veeder-Root we also know that technology needs to be adapted and

supported locally. To do this we are investing heavily in regional teams that can tailor solutions to meet their customer needs. In illustration, we have significant technical resources in Middle East, Asia, China and India that develop local solutions and applications. Finally, technology is not the only thing we focus on at Gilbarco Veeder-Root. We know that networks need to be supported and serviced in every market

– regardless of the technology installed. We have a support model that involves high-quality local distributors (with intimate market and customer knowledge), coupled with direct GVR regional support and global back-up. After all, what ultimately matters is how networks operate day-in, day-out – not just when new equipment is installed. I believe the combination of GVR’s global technology, local applications and intimate market support can make a differ-ence. We are certainly working hard to make sure this is the case.

NN: With 400 distributors and the GVR world-wide network getting bigger every year, do you feel that you have lost some of the personal one to one contact you might have had with local markets and local customers previously? For example, I know some suppliers in this industry which are enjoying increased levels of business, simply by offering a more hands on personal service, particularly in the emerging markets.

PD: As I’ve said already, we recognize the criticality of local, personalised service and support. We do have many direct GVR people deployed across the world, but we certainly can’t be everywhere all the time. This is why we reinforce our direct presence with an excellent global network of distributors. We know our distributors are pivotal to delivering value to customers, and we work with them as partners. As GVR we are able to supply leading global technology plus specific local applications where appropriate. Our distributors provide inti-mate local installation, service and support to our customers. It’s a powerful combination, but like all partnerships it requires ongoing investment. As a result, we have a dedicated GVR team whose key function is reinforcing our distribution part-nerships and the quality of our combined offering. We have significant distributor training, quality accreditation and field management processes. As importantly, there’s always lots of dialogue about how we can provide even better solutions for our customers. Overall, we aim to ensure all our customers – wherever they are in the world – get great local support for their businesses. Sometimes we pro-vide this support direct with GVR personnel and sometimes through our distributor partners. From our customers point of view I’d like to think they don’t see a difference between the two.

More details on Gilbarco Veeder-Root can be found at www.gilbarco.eu

Peter Dilnot, EMEA & Asia President,

Gilbarco Veeder-Root

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Electric cars will get more popular says Shell CEO

Natural Gas: An economic and environmental solution to meeting growing energy demand

TouchStar, OrTEC and Silicon Controls

Gas buses for the city of Almaty in Kazakhstan

An oil company finally opts to go green

SPAr AUSTrIA launches charging stations for electric bikes

Royal Dutch Shell Plc expects electricity-powered vehicles to account for as much as 40 percent of the worldwide car market by 2050, Chief Executive Peter Voser said. Voser, speaking at the ECO:nomics conference in Santa Barbara, said technological improve-ments and increases in the cost of producing gasoline will give a boost to vehicles that run on alternative power. “We think between now and 2050, we will go from 1 billion cars to 2 billion cars worldwide”, he said. “We think by 2050, roughly 40 percent of those 2 billion cars will be electric.” In the next 40 years, the market needs low-carbon fuels, more efficient engines and hybrid vehicles, Voser said. “I think there will be room and space to develop all of them”, he added. Gasoline demand in developed countries like the United States has started to decline, partly as vehicles running on alternative fuels have entered the market. Companies such as Shell and BP are spending more money on those newer technologies, including for next-generation biofuels. automakers such as Ford

The development of natural gas resources from around the world will play an important role in the future global economy, Tom Walters, president of ExxonMobil Gas & Power Mar-keting Company, said last month at a plenary session during the CERaWeek 2010 conference in Houston, Texas: “We expect global energy demand to increase nearly 30 percent in the next 20 years. By 2030, global gas demand will be around 140 billion cubic feet per day higher than 2009.” Walters joined a group of industry leaders to address a global gas plenary on “The Role of Natural Gas in the Future Energy Mix.” He noted that despite the

TouchStar Technologies announce the for-mation of their co-operation with ORTEC, global leader in advanced resource planning, and leading global telemetry experts Silicon Controls. The three companies collaborate to deliver SHV Gas’s Digital logistics Initiative. SHV’s objectives are clear: it aims to reduce distribution costs by 10 percent. SHV Gas, which operates in 27 countries worldwide,

The first 200 gas buses will be working in almaty this year. Vice akim of almaty, Erbol Shormanov, informed at a briefing, an agency reported “We plan that this year the first so-called municipal gas buses, about 200 units, will start to function in almaty”, Shormanov informed. He also said that several gas-filling stations will be constructed in the city. The akimat has reached an arrangement with KazTransGas companies.

It’s not a major company like BP, Exxon, or Shell, although it’s about 40 percent owned by the last. But Showa Shell Sekiyu, a refiner in Japan, may still count as the first example of an oil company staking its future, not just a tiny percentage of profits, on renewable energy. Showa is looking to invest about $1.1 billion, more than two years’ profits, in a solar cell factory in southern Japan, boost-ing its output tenfold to 900 megawatts. The investment would probably cost more, but the plant is one acquired from Hitachi, allowing Showa to re-use some technology. The plant will make low-efficiency thin-film solar panels, so Reuters is billing the move as competition for First Solar. Showa may indeed be on competing in price, but it looks like the company actually wants to find its own markets.

SPaR (austria) will set up free charging stations for e-bikes at 26 INTERSPaR and EUROSPaR outlets in the Styria region before summer 2010. INTERSPaR and Hervis have offered e-bikes in their ranges since 2009. If the pilot project turns out to be successful, the charging stations may be rolled out to around 150 further stores in Styria and to SPaR outlets in other regions of the country as well. SPaR (austria) is also sponsoring its employees with 100 euros (US $146) each when they decide to buy an e-bike.

Motor Co and Nissan Motor Co ltd are racing to launch electric cars, betting these will be the environmentally friendly transportation of the future. Small players like Tesla Motors already sell electric vehicles. Voser said Shell was invest-ing 25 percent of its research and development budget into renewables, including wind power and biofuels. Shell has bet big on ethanol by striking a deal with Brazil’s Cosan to create a US $ 21 billion a year ethanol joint venture. The 50 – 50 joint venture, with almost 4 500 filling stations nationwide, will better position Cosan and Shell to compete with the two top players in the market, state oil giant Petrobras and Ipiranga, a unit of Brazil’s Grupo Ultra.

effects of the recent economic downturn, the long-term outlook for natural gas is positive. The major driver of this demand is power gen-eration, which will account for more than half of the gas demand growth, Walters said. He also emphasized the environmental benefits of natural gas as a source of power generation.

“Natural gas is a cleaner burning source of fuel and power generation that over the next 20 years will continue to form an increasingly important role in the global energy mix. This can be attributed to its advantages of lower carbon emissions and greater flexibility into power generation.”

distributes its products mainly to domestic and small businesses customers. From around 100 warehouses across Europe, 2 000 trucks deliver lPG , both in bulk and contained in bottles. The solution will integrate TouchStar’s rugged TouchPC based On-Board Truck technology with ORTEC’s Vehicle Routing and Dispatch software and Silicon Controls remote tank monitoring system “Gaslog”.

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“We are committed to offshore wind power be - cause we want to use our expertise and back-ground to create value where we have a com-petitive edge”, said Margareth Øvrum during Statoil’s energy seminar in Bergen. Statoil’s executive vice president for Technology & New Energy held a presentation at the company’s energy seminar last month. “It is characteristic of Statoil that we use our experience and in-novative ability to solve new challenges”, said Øvrum and mentioned the company’s history as a pioneer in developing, testing and adopt-ing new technology. Statoil’s offshore expertise forms the foundation for the company’s com-mitment to offshore wind energy. “as a company we have considerable expertise which can also be used in the offshore wind sector”, said Øvrum. “This applies to everything from challenges as-sociated with turbines, anchoring and modelling to seabed surveys.” Tough weather conditions require a focus on health, safety and the envi-ronment during the installation, operation and maintenance of offshore wind farms. Statoil has a lot of experience of building facilities and run-ning marine operations in rough weather, and of engineering and developing complex projects. The company has knowledge and experience of how wind and weather can affect structures. It is also experienced in remotely controlled operations.“In addition we have experience of energy trading which makes it possible for us to realise the value of the wind power we generate”, said Øvrum at the conference.

winds of change By 2020, 20 percent of the energy in the Euro-pean Union will be renewable and wind power is expected to account for half of this growth. Offshore wind power is expected to grow by 20 percent annually. The UK stands out as the most attractive market by far. The country has 40 percent of Europe’s wind resources and advantageous water depths. It also faces a big challenge when it comes to energy supplies and to meeting its commitments to renewables in the energy market. The UK has therefore estab-lished good and predictable frame conditions for offshore wind power. Statoil is now gradually building up a wind energy portfolio. “This will give us the opportunity to learn and develop the appropriate expertise, just like we have done in the field of oil and gas”, adds Øvrum.

Prices must fallWind energy entails a different type of risk management than hydrocarbons but health, safety and the environment are naturally in the spotlight. and wind energy is to a greater degree characterised by standard solutions and mass production. But to ensure profitability without

subsidies, the technologies have to be optimised and improved and the costs need to be reduced. Eighty per cent of the costs in generating wind energy are associated with investments and that is why Statoil has a particular focus on development costs. “It’s particularly important to make lighter and larger turbines which are specially adapted to offshore wind”, Øvrum said. Such turbines will provide greater regularity. lower weight also makes both the turbine and the installation less expensive. Øvrum is also pleased to affirm that there will be increased competition among the turbine suppliers and she hopes to see more suppliers. Not only because this will strengthen competitiveness but also because it is important that there is sufficient capacity in the market. Many large wind energy projects are being assessed at present. “If the big ambitions are to be fulfilled, the industry is dependent on a reduction in costs”, said Øvrum. Below are ongoing projects which Statoil are heavily involved in;

Sheringham Shoal » Wind farm with 88 turbines being built by Statoil and Statkraft off the UK east coast

» Construction started offshore on 9 March. The Nordnes vessel began placing rocks at locations on the field, in preparation for the installation of the structures next month. Work on land began last year » Start-up is planned for late 2011

Statoil make the case for wind farms

dogger bank » When fully developed it can be the world’s largest wind power development and cover about 10 percent of the UK’s total electric-ity demand

» lies in deeper water and further from shore than existing wind parks: 125 – 195 kilome-tres from land, at depths of 18 – 63 metres

» Surveys and planning required for the ap-proval process are getting under way. The first investment decisions can be taken in 2014 at the earliest

» Statoil has been awarded wind licences together with Statkraft, Scottish and Southern Energy (SSE) and RWE npower

Hywind » The world’s first full-scale, floating wind turbine

» The Hywind pilot started gathering data off Karmøy near Stavanger last autumn and is now producing at full capacity. One million kilowatt-hours of electricity have already been generated

» Hywind has attracted a lot of attention both in Norway and internationally. We have signed a letter of intent with the governor of Maine, USa, to examine the possibility for a medium-sized wind park there. We also have a dialogue with the Scottish autho rities about the opportunities for floating wind power in Scotland

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source: statoil image bank, www.statoil.com

PETrOFOrUM PETrOFOrUM MIddLE EAST, ASIA & AFrICArEd rETAIL

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Truenorth Energy, the petrol retail 50 : 50 joint venture between Shell Oil Products US and Ohio-based family business lyden, has acquired 109 Shell-branded sites in the greater Chicago area from Shell. all stations will continue to trade under the Shell banner. Following the transaction, Truenorth operates or supplies 212 sites in Ohio and south eastern Michigan.

Denny’s Corporation has been chosen as the full service restaurant operator for Pilot Travel Centers (Pilot), one of the largest forecourt operators in the US, located across 41 states. Pilot is in the process of merging with Flying J Travel Centers. Up to 140 Flying J Travel Centers across North america could have their full service restaurants converted to Denny’s.

QUIzNOS to expand through convenience store locations

ExxonMobil offers US gas station locator download for GPS devices

US sandwich chain Quiznos is to expand at convenience store and forecourt locations. Quiznos began opening outlets within con-venience stores and petrol stations such as BP, Chevron and Circle K last year and now has 175. It plans to double this number next year and then double it again by the end of 2012, to reach a total of approximately 700 locations. It also intends to add traditional Quiznos outlets at the same rate. “a lot of people are working two jobs in this economy and are busier and busier, and convenience is becom-ing more and more important”, said Quiznos Chief Executive Rick Schaden. Quiznos said its convenience store locations generate almost double the sales per square foot of a traditional Quznos and should contribute a

ExxonMobil have introduced a new feature that will allow customers to download Exxon and Mobil service station locations to their GPS devices. This feature is downloadable from the ExxonMobil ‘Station locator’ website and is compatible with the leading consumer GPS devices, including Garmin, TomTom and Magellan. The site features easy to follow instructions along with a video tutorial. “The GPS download feature provides a fast and convenient way for our customers to locate Exxon and Mobil stations”, said Ben Soraci, Director, U.S. Retail Sales. Other enhance-ments to the Station locator feature include a Spanish-language option and real-time traffic reports. Soraci said these enhancements build on improvements ExxonMobil made to its web-based Station locator feature in 2009.

total of US $ 250 million in sales by the end of 2012. From March, these locations serve a breakfast menu including cinnamon rolls and biscuit-and-egg sandwiches.

COUCHE-TArd expects US convenience store shake-outWhen fuel margins were strong, convenience stores were comfortable with the cash that they were generating with their stores, said Couche-Tard Financial Officer Raymond Paré. “What we’re seeing now is that people are starting to understand that this beautiful moment is now part of history. We’re back to a normal market.” He added that Couche-Tard needs to be a “good operator to make money” in today’s climate and the c-store chain will look for both large and small acquisition targets.

last spring, ExxonMobil revamped its website to include Google mapping technology. For the first time, ExxonMobil customers were able to produce turn-by-turn driving directions to Exxon and Mobil stations, as well as a range of useful consumer services such as repair shops, convenience stores and aTM locations. This revamp more than doubled the traffic on ExxonMobil’s Station locator website over the last twelve months. Monthly views went from about 1 million at the time to about 2.5 million views a month, currently. The Exxon and Mobil Station locator serves as the online face for each retail location, and links directly to individual station home pages. Customers logging onto the updated website can click on “Find a Station” under the quick links section.

OPw Fuel Site Controller now PCI compliant

OPW Fuel Management Systems, has redesigned the setup and configuration control, user access and data access for its FSC3000™ Fuel Site Controller product to be compliant with Visa U.S.a. Payment application Best Practices (PaBP) / Payment Card Industry Payment ap-plication Data Security Standard (PCI Pa-DSS) guidelines. The FSC3000 is the heart of several OPW fuel-management systems and can be integrated directly into the K800 Hybrid™, FIT500™ and C / OPT™ fuel-island terminals, or provided as a stand-alone controller. The FSC3000 stores transaction data, and driver and vehicle records, including fueling-restriction data that is critical to proper fleet management.

Chevron streamlining downstream activitiesChevron Corp, the second-largest U.S. oil company, which owns the Texaco filling stations brand put, some of its downstream operations up for sale, including its Pembroke refinery in the UK, and said it would eliminate 2 000 jobs this year. Chief Executive John Watson told reporters recently that he did not expect to have to close any refineries, as France’s Total Sa is doing in Dunkirk, France. “Our refineries are competitive. The issue for us has been the industry conditions are very difficult right now”, he said. The company will seek bids for some downstream operations in Europe, the Caribbean and Central america, and review operations in Hawaii and africa outside South africa. Chevron said it ultimately wants its downstream busi-ness to be in fewer than 40 countries, versus 93 last year, and to own 1 900 filling stations, down from 3 200 in 2009. along with 1 900 jobs already cut, the downstream workforce will be reduced by a fifth by the end of 2010.

Shell transfers 109 Chi-cago sites to Truenorth

dENNy’S partnering with Pilot Travel Centers

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www.gilbarco.eu & www.veeder.com

www.fafnir.com

www.iisltd.com

TM

www.global-msi.com

www.tebodin.com

www.nupigeco.com

www.mepsan.com.tr

www.mueller-offenburg.de

7897174646787345745719874928758975298749287565761498734745375987594875489375174978975987548579847927834897234987198746564576786187398749278490410014738402342903408989675747101474578903749759865847973010011001017194782938748765676498131010197843048298475623784693874981747656457419037438476757647298798719837128973987489347389756136839479847395759487510934884738765641647498754987987349237491873498734875768719387498478294724617623784684767849478234017810100079731144850783434373298713409810983745623847389470918309819031239085847548719081098314347578745871984734874387563487111110101893478974397019784737347238745739478190741012983718973982737889454565719738971097917312807398734897478910108019139871371078930193710978778348723471010189371037848738529378419879817346583478738471019109283023787818732189731987387237278387219081039847576346189723987381927310938709837187373781

www.kssg.com

www.kpsystem.com

www.kubald.com

www.opw-fce.com

www.scheidt-bachmann.com

www.ruudlighting.net & www.ruudled.net

www.secu-tech.at

www.istobal.com

If you have not yet sent us your logo and website address, please do so for the next issue by mailing [email protected]

wEbSITES ANd LOGOS – SUPPOrTING ErPECNEwS

24

CLEANENERGY

WWW.OPWGLOBAL.COMOPW Fueling Components EMEA • Bělohorská 39, 160 00 Prague, Czech Republic • [email protected]

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