First time Azerbaijani company has losses in investment project

Losses of SOCAR Trading, which is the trading house of SOCAR, from shutdown of Samir oil refinery in Mohammediya city of Morocco will total $9 million, reads the report of SOCAR Trading.

Reuters reported that the oil refinery’s debts to Morocco’s tax agencies exceeded $1.3 billion and total amount of debt reached $4.5 billion and for this reason the court decided to shut down the plant.

“Considering partial compensation of resources at the expense of insurance, SOCAR Trading estimated the net loss at $9 million,” reads the report.

Samir oil refinery, part of products of which has been sold by SOCAR Trading, is controlled by Corral Holdings company, which holds 62.26% shares. SOCAR Trading has expanded its presence in Africa in 2015 by buying 20% share in the Benin company Octogone Stockage de Produits Petroliers, which specializes in storage of products.

SOCAR Trading also plans to expand its presence in Angola through STL Oil & Gas SA company, in which it controls 49% shares and which is already present at the markets in Nigeria and Egypt.—0—