MIRA INFORM REPORT

 

 

Report Date :

15.03.2013

 

IDENTIFICATION DETAILS

 

Name :

QATAR CHEMICAL COMPANY LTD (Q-CHEM)

 

 

Registered Office :

Salam Tower, 1st Floor, West Bay, P O Box 24646, Doha

 

 

Country :

Qatar

 

 

Date of Incorporation :

06.10.1998

 

 

Com. Reg. No.:

21119, Doha

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Production of petrochemicals

 

 

No. of Employees :

500

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Satisfactory 

 

 

Payment Behaviour :

No  Complaints

 

 

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

 

Country Name

Previous Rating

(31.03.2012)

Current Rating

(30.06.2012)

Qatar

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

Qatar - ECONOMIC OVERVIEW

 

Qatar has prospered in the last several years with continued high real GDP growth in 2011. Qatari authorities throughout the financial crisis sought to protect the local banking sector with direct investments into domestic banks. GDP 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. 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 likely have made Qatar the second highest per-capita income country - behind Liechtenstein - 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 and the Qatar-Bahrain causeway.

 

 

Source : CIA

 


SUMMARY

 

Company Name                                    : QATAR CHEMICAL COMPANY LTD (Q-CHEM)

Country of Origin                                   : Qatar

Legal Form                                           : Limited Liability Company

Registration Date                                  : 6th October 1998

Commercial Registration Number           : 21119, Doha

Issued Capital                                       : QR 500,000,000

Paid up Capital                                     : QR 500,000,000

Total Workforce                                     : 500

Activities                                               : Production of petrochemicals.

Financial Condition                                : Undetermined

Payments                                             : Nothing detrimental uncovered

Person Interviewed                                : Michael Emerson, Finance Manager

 

 

 


COMPANY NAME

 

QATAR CHEMICAL COMPANY LTD (Q-CHEM)

 

 

Company ADDRESS

 

Registered & Physical Address

Building            : Salam Tower, 1st Floor

Area                 : West Bay

PO Box            : 24646

Town                : Doha

Country             : Qatar

Telephone         : (974) 44847111 / 44858296 / 44847131 / 44767777

Facsimile          : (974) 44847171 / 44837379 / 44858262

Email                : info@qchem.com.qa

 

Premises

Subject operates from a large suite of offices that are rented and located in the Central Business Area of Doha.

 

Branch Office (s)

 

     Location                                                                                          Description

 

·       Mesaieed Industrial City                                                                    Owned petrochemical plant

     Qatar

 

 

KEY PRINCIPALS

 

     Name                                                                                               Position

·       Don Lycette                                                                                     General Manager

·       Ahmed I Al Emadi                                                                             Assistant General Manager

·       Michael Emerson                                                                              Finance Manager

·       Steven Jackson                                                                                Purchasing Manager

·       Mohammed Ali                                                                                 Personnel Manager

·       Ms Lemia Zahran                                                                              Administrative Officer

    

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 6th October 1998

 

Legal Form                  : Limited Liability Company

 

Commercial Reg. No.   : 21119, Doha

 

Issued Capital              : QR 500,000,000

 

Paid up Capital            : QR 500,000,000

 

Name of Shareholder (s)                                               Percentage

 

·       Qatar Petroleum Corporation (QP)                                  51%

     Al Sadd Plaza

     West Bay

     PO Box: 3212 / 47 / 70

     Doha

     Qatar

     Tel: (974) 44491491

     Fax: (974) 44831125 / 44402020

 

·       Chevron Phillips Chemical Company                               49%

10001 Six Pines Drive

PO Box: 4910

The Woodlands

Texas TX  77387-4910

United States of America

Tel: (1-832) 8134100

 

 

AFFILIATED COMPANIES

 

Subject is partly owned by Qatar Petroleum Corporation (QP) who has interests in the following concerns:

 

     Name                                                                       Country                QP Stake

 

·       National Oil (Nodco)                                                 Qatar                   100.00 %

·       Qatar Petrochemicals Company                                Qatar                     80.00 %

·       Qatar Fertiliser Company (Qafco)                              Qatar                   100.00 %

·       Qatar Liquefied Gas Company Ltd (Qatargas)            Qatar                     65.00 %

·       Arab Shipbuilding and Repair Yard Co                       Bahrain                  18.80 %

·       Arab Maritime Petroleum Transport Co (Amptc)          Kuwait                   13.60 %

·       Arab Petroleum Investments Corp (Apicorp)               Saudi Arabia          10.00 %

·       Arab Petroleum Services Co (APSC)                         Libya                     10.00 %

·       Arab Petroleum Pipeline Co (Sumed)                         Egypt                      5.00 %

·       Arab Engineered Systems and Control (AESC)          UAE                      11.40 %

·       Qatar Europe LNG Company Ltd                                   -                      100.00 %

·       Ras Laffan LNG Company Ltd                                   Qatar                     70.00 %

·       Qatar Fuel Additives Company (Qafac)                      Qatar                     50.00 %

·       Qatar Clean Energy Company (Qacenco)                   Qatar                     50.00 %

·       Qatar Water & Electricity Company (QWEC)               Qatar                     10.00 %

·       Qatar Shipping Company (QSC)                                Qatar                     10.00 %

·       Qatar Plastic Production Company                            Qatar                     26.60 %

 

 

OPERATIONS

 

Activities: Subject operates an integrated petrochemical plant producing high density polyethylene (HDPE),

            metallocene linear low density polyethylene (LDPE) and hexene-1 (alpha olefin) and other associated by-

             products using the most up-to-date technology.

 

Commercial operations began in late 2002. On 9 June 2003, Q-Chem celebrated the occasion of its first

shipment of polyethylene by containership. To date, the company has shipped products to more than 40

countries in film and blow moulding application

 

Annual Production Capacity:    Ethylene                                               500,000 tonnes

                                    High density polyethylene (HDPE)          453,000 tonnes

                                    1-Hexene                                                47,000 tonnes

                                    Sulphur                                                   36,000 tonnes

 

Import Countries: United States of America, Europe and the Far East.

 

Subject has a workforce of approximately 500 employees.

 

 

FINANCIAL DATA

 

Companies registered in Qatar are not legally required to make their accounts public and no financial information was released by the company or submitted by outside sources.

 

 

BANKERS

 

·       HSBC Bank Middle East

Abdullah Bin Jassim Street

PO Box: 57

Doha

Tel: (974) 44423124

Fax: (974) 44416353

 

·       Bank of America

9 Ruffels Place

Republic Plaza Tower

Singapore

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

GENERAL COMMENTS

 

Qatar Chemical Company Ltd (Q-Chem) was registered in 1998 and began commercial operations in late 2002. The company operates an integrated petrochemical plant producing high density polyethylene (HDPE), metallocene linear low density polyethylene (LDPE) and hexene-1 (alpha olefin).

 

During the course of this investigation nothing detrimental was uncovered regarding subject’s operating history or the manner in which payments are fulfilled.

 

Q-Chem is owned by the well known and financial strong Qatar Petroleum Corporation (QP) and Chevron Phillips Chemical Company of the US. As such we are of the opinion that the subject would not enter into financial transactions it could not see its way clear to fulfil.

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.44

UK Pound

1

Rs.81.33

Euro

1

Rs.70.50

 

INFORMATION DETAILS

 

Report Prepared by :

MNL

 

RATING EXPLANATIONS

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

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

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

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

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

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

----

NB

New Business

----

 

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%)

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.