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Report Date : |
22.04.2013 |
IDENTIFICATION DETAILS
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Name : |
QATAR PETROCHEMICAL CO QSC (QAPCO) |
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Registered Office : |
Qapco Building C Ring Road PO Box 756 Doha |
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Country : |
Qatar |
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Financials (as on) : |
31.12.2011 |
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Year of Incorporation : |
1974 |
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Com. Reg. No.: |
141, Doha |
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Legal Form : |
Qatari Joint Stock Company |
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Line of Business : |
Manufacturers of Ethylene and LDPE. |
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No. of Employees : |
910 |
RATING & COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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56-70 |
A |
Financial & operational base are regarded healthy. General unfavourable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
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Status : |
Good |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
NOTES :
Any query related to this report can be made
on e-mail: infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – June 30th, 2012
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Country Name |
Previous Rating (31.03.2011) |
Current Rating (30.06.2012) |
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Qatar |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
QATAR - ECONOMIC OVERVIEW
Qatar has prospered in the last several years with continued
high real GDP growth. Throughout the financial crisis Qatari authorities sought
to protect the local banking sector with direct investments into domestic banks.
GDP had rebounded in 2010 largely due to the increase in oil prices, and 2011's
growth was supported by Qatar's investment in expanding its gas sector. GDP
slowed to 6.3% in 2012 as Qatar's gas sector expansion moved toward completion.
Economic policy is focused on developing Qatar's nonassociated natural gas
reserves and increasing private and foreign investment in non-energy sectors,
but oil and gas still account for more than 50% of GDP, roughly 85% of export
earnings, and 70% of government revenues. Oil and gas have made Qatar the
world's highest per-capita income country and the country with the lowest
unemployment. Proved oil reserves in excess of 25 billion barrels should enable
continued output at current levels for 57 years. Qatar's proved reserves of
natural gas exceed 25 trillion cubic meters, more than 13% of the world total
and third largest in the world. Qatar's successful 2022 world cup bid will
likely accelerate large-scale infrastructure projects such as Qatar's metro
system, light rail system, and the Qatar-Bahrain causeway. The Hamad
International Airport is projected to open by the end of 2013 with an annual
passenger capacity of 24 million.
Source
: CIA
Company Name : QATAR PETROCHEMICAL CO QSC (QAPCO)
Country of Origin : Qatar
Legal Form : Qatari Joint Stock Company
Registration Date : 1974
Commercial Registration Number : 141, Doha
Issued Capital : QR 436,000,000
Paid up Capital : QR 436,000,000
Total Workforce : 910
Activities : Manufacturers of Ethylene and LDPE.
Financial Condition : Good
Payments : Nothing detrimental uncovered
Operating Trend : Steady
QATAR PETROCHEMICAL CO QSC (QAPCO)
Building : Qapco
Building
Street : C Ring Road
PO Box : 756
Town : Doha
Country : Qatar
Telephone : (974) 44242444
/ 44321105 / 44323805 / 44010160
Facsimile : (974) 44324700
/ 44772674 / 44353961
Email : information@qapco.com.qa
Subject operates from a large suite of offices that are owned and
located in the Central Business Area of Doha.
Branch Office (s)
Location Description
· Industrial City Owned
production plant
PO Box: 50155
Mesaieed
Tel: (974)
44777111
Fax:
(974) 44771346 / 44770459
Name Position
· Hamad Rashid Al
Mohannadi Chairman
· Dr Mohamed Yousef
Al Mulla Vice
Chairman
· Rashid Ali Al
Mohannadi Director
· Ahmed Mohamed
Ahmed Darwish Director
· Sultan Khalifa Al
Banali Director
· Mohamed Jasem Al
Baker Director
· Graeme Burnett Director
· Ahmad Al Mawlawi Director
· Brian Canfield Director
· Mrs Bernadette
Spinoy Director
· J A Jayadewa Jayakody Finance
Manager
·
Rashid Abdulla S Al
Sulaiti Administration
Manager
· Pfeiffer Jean Claude Jacques Technical
Manager
· Abdulrahman Ali Al Abdullah Marketing
Manager
· Saleh Al Halaki Projects
Manager
· Mohamed Jassim Al Naama Public
Relations Manager
·
Saleh Mohamed Al
Halaki Production
Manager
·
Marc P Van der
Auwera Operations
Manager
· Mohamed Al Mulla Maintenance Manager
· Nabil Rahmattula IT Manager
·
Fahd Zaimal Human
Resources Manager
Date of
Establishment : 1974 (under Emiri
Decree 109) Production began in 1981
History : Subject was
originally incorporated in 194 as a Qatari Joint Stock Company between the
following
shareholders :
1. Qatar General Petroleum Corp (QGPC) 84 %
2. Elf Atochem SA 16 %
In September 1990, and as part of the
programme to double production capacity, a new
shareholder was introduced, namely Enichem SpA of Italy, who shared a
20% stake in the
company with France’s Elf Atochem SA.
During 2002, Enichem SpA of Italy sold its stake in the company to
France’s Atochem SA.
Legal Form : Qatari Joint Stock
Company
Commercial Reg.
No. : 141, Doha
Issued Capital : QR 436,000,000
Paid up Capital : QR 436,000,000
· Industries Qatar 80%
Al Sadd Plaza
West Bay
PO Box: 3212
Doha
Tel: (974)
44491491
Fax: (974)
44831125
· Total
Petrochemicals (Formerly Atochem SA) 20%
4 Cours Michelet,
La Defense 10, Cedex 42
Paris 92091
France
Tel: (33-1)
49008080
Fax: (33-1)
49008386
Name Percentage Held
· Qatofin 63.0%
· Qatar Vinyl
Company (QVC) 31.9%
· Qatar Plastic
Products Company (QPPC) 33.3%
Activities: The main products of the company are Ethylene and LDPE. Solid sulphur
is generated as a
by-product in the process. The required
feedstock, Ethane gas, is supplied by the state-owned Qatar Petroleum (QP) for
the production of Ethylene, a significant part of which is then used in the
production of various grades of LDPE, marketed under the ‘LOTRENE’ brand name.
Subject’s manufacturing facilities consist
of an Ethylene plant with a designed annual capacity of 525,000 MT, two LDPE
plants with a total annual capacity of 360,000 MT and a Sulphur plant with an
annual rated capacity of 70,000 MT.
Import Countries: United States of America and Europe
Export Countries: QAPCO distributes its products in competitive
markets in 35 different countries, through a network of distributors supplying over 4000 customers
world-wide. Its main markets are South East Asia
Brand Names: LOTRENE
Operating Trend: Steady
Subject has a workforce of approximately 910 employees.
Financial highlights provided by local sources are given below:
Currency: Qatari Riyals (QR 000’s)
Income Statement 31/12/10 31/12/11
Revenue 4,569,964
6,033,314
Cost of goods sold (1,372,874)
(1,831,997)
Gross profit 3,197,090 4,201,317
Other income 88,719
103,120
Selling expenses (141,244)
(160,662)
Administration expenses (209,468)
(254,802)
Gain on foreign exchange 456
4,457
Results from operating activities 2,935,553 3,893,430
Finance charges (76,693)
(104,002)
Finance income 42,502
18,473
Profit before income tax 2,901,362 3,807,901
Income tax (683,539)
(841,076)
Deferred tax (48,703)
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Profit for the year 2,169,120 2,966,825
Balance Sheet
Assets
Non-current assets
Property, plant and equipment 6,000,462 6,319,714
Intangible assets 160,196
159,509
Other non-current assets 2,650
3,136
Total non- current assets 6,163,308 6,482,359
Current assets
Inventories 365,180
405,804
Due from related parties 486,643
424,133
Accounts receivable and prepayments 813,250
1,339,563
Cash and cash equivalents 1,728,439
1,725,503
Total current assets 3,393,512 3,895,003
Total assets 9,556,820 10,377,362
Equity And Liabilities
Equity
Share capital 436,000
436,000
Legal reserve 160,772
253,233
Cumulative changes in fair values (90,543)
(97,172)
Retained earnings 4,504,372
5,347,232
Total equity 5,010,601 5,939,293
Non-current liabilities
Employees’ end of service benefits 75,305
78,269
Non- current portion of long term loan 2,244,381
1,988,609
Non- current portion of interest rate swap 57,211 70,637
Deferred tax liability 102,547
159,678
Total non- current liabilities 2,479,444 2,297,193
Current liabilities
Due to related parties 515,611
749,293
Current portion of long term loans 356,394
223,219
Accounts payable and accruals 477,899
357,884
Income tax payable 683,539
783,945
Current portion of interest rate swap 33,332
26,535
Total current liabilities 2,066,775 2,140,876
Total liabilities 4,546,219 4,438,069
Total equity and liabilities 9,556,820 10,377,362
Please note that figures for the year ending 31st December
2012 were not available.
Local sources consider subject’s financial condition to be Good.
·
Commercial Bank of Qatar Ltd (QSC)
PO Box: 3232
Doha
Tel: (974) 44490222
Fax: (974) 44438182
·
HSBC Middle East Bank
PO Box: 57
Doha
Tel: (974) 44382100
Fax: (974) 44416353
Acc No. 001135888063
·
Qatar National Bank
Government House Road
PO Box: 1002
Doha
Tel: (974) 44413511 / 44407407
Fax: (974) 44415020
·
Banque Paribas
PO Box: 2636
Doha
Tel: (974) 44430346 / 44430344
Fax: (974) 44430121
·
Arab Bank
PO Box: 172
Doha
Tel: (974) 44437979 / 44422814
Fax: (974) 44410774
·
Standard Chartered Bank
Abdullah Bin Jassim Road
PO Box: 29
Doha
Tel: (974) 44414252
Fax: (974) 44413739
No complaints regarding subject’s payments have been reported.
Credit amount 13,000 7,000
Amount overdue 0 0
Payment terms 30
days 30
days
Payment Method Letters
of Credit Letters
of Credit
Paying record Prompt Prompt
Currency US
Dollars Pounds
Sterling
Qatar Petrochemical Co QSC (QAPCO) was established in 1974 and is
engaged in the production of ethylene, low density Polyethylene (LDPE) and
solid sulphur.
The company is 80% owned by Industries Qatar, which in turn is wholly
owned by the government of Qatar. The company has the full support of its main
shareholder, and as such is deemed reliable for respecting its financial trade
commitments.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.54.03 |
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1 |
Rs.82.43 |
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Euro |
1 |
Rs.70.49 |
INFORMATION DETAILS
|
Report
Prepared by : |
PRL |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
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56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with full
security |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NB |
New Business |
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This score serves as a reference to assess
SC’s credit risk and to set the amount of credit to be extended. It is
calculated from a composite of weighted scores obtained from each of the major
sections of this report. The assessed factors and their relative weights (as
indicated through %) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend (10%) Operational size
(10%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.