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Report Date : |
14.11.2014 |
IDENTIFICATION DETAILS
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Name : |
SAUDI ARAMCO BASE OIL COMPANY (LUBREF) |
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Registered Office : |
Old Mina Road, Aramco Industrial Area, PO Box 5518, Jeddah 21432 |
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Country : |
Saudi Arabia |
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Date of Incorporation : |
28.08.1976 |
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Com. Reg. No.: |
4030010447 |
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Legal Form : |
Limited Liability Company |
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Line of Business : |
Engaged in the production of lubricating base oils. |
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No of Employees : |
1,100 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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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 1, 2014
|
Country Name |
Previous Rating (31.03.2014) |
Current Rating (01.06.2014) |
|
Saudi Arabia |
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 |
SAUDI ARABIA - ECONOMIC OVERVIEW
Saudi Arabia has an oil-based
economy with strong government controls over major economic activities. It possesses
about 16% of the world's proven petroleum reserves, ranks as the largest
exporter of petroleum, and plays a leading role in OPEC. The petroleum sector
accounts for roughly 80% of budget revenues, 45% of GDP, and 90% of export
earnings. Saudi Arabia is encouraging the growth of the private sector in order
to diversify its economy and to employ more Saudi nationals. Diversification
efforts are focusing on power generation, telecommunications, natural gas
exploration, and petrochemical sectors. Over 6 million foreign workers play an
important role in the Saudi economy, particularly in the oil and service
sectors, while Riyadh is struggling to reduce unemployment among its own
nationals. Saudi officials are particularly focused on employing its large youth
population, which generally lacks the education and technical skills the
private sector needs. Riyadh has substantially boosted spending on job training
and education, most recently with the opening of the King Abdallah University
of Science and Technology - Saudi Arabia's first co-educational university. As
part of its effort to attract foreign investment, Saudi Arabia acceded to the
WTO in 2005. The government has begun establishing six "economic
cities" in different regions of the country to promote foreign investment
and plans to spend $373 billion between 2010 and 2014 on social development and
infrastructure projects to advance Saudi Arabia's economic development.
|
Source
: CIA |
Company Name :
SAUDI ARAMCO BASE OIL COMPANY (LUBREF)
Country of Origin :
Saudi Arabia
Legal Form :
Limited Liability Company
Registration Date :
28th August 1976
Commercial Registration Number :
4030010447, Jeddah
Chamber Membership Number :
1150
Issued Capital :
SR 441,000,000
Paid up Capital :
SR 441,000,000
Total Workforce :
1,100
Activities :
Producers of lubricating base oils.
Financial Condition :
Undetermined
Payments :
Nothing detrimental uncovered
Person Interviewed :
Abdul Mohsin Al Dulaijan, Finance Manager
SAUDI ARAMCO BASE OIL COMPANY (LUBREF)
Registered &
Physical Address
Street : Old Mina
Road
Area : Aramco
Industrial Area
PO Box : 5518
Town : Jeddah 21432
Country : Saudi Arabia
Telephone : (966-2) 2296555
/ 2296677 / 2296556 / 2296514 / 2296465 / 2296464 / 2296462 / 22996544
Facsimile : (966-2)
4275026
Email : alsaudn@luberef.com
/ bazuhairo@luberef.com
/ aldulaijana@lubrefc.com
Premises
Subject operates from a large suite of offices, warehousing and an oil
refinery that are owned and located in the Industrial Area of Jeddah.
Branch Offices
Location Description
PO Box: 30122 Oil
refinery
Yanbu
Tel: (966-4) 3252777
Name Position
Hassan Gamman Al Zahrani Chief
Executive Officer & President
Prince Nawaf Bin Saud Al Saudi Vice
President
Zayad Al Kharboosh Human
Resources Manager
Mohamed Al Harbi Commercial
Manager
Saeed Ba Duraish Refinery
Manager
Abdul Mohsin Al Dulaijan Finance
Manager
Hatim Qatani Accountant
Khalid Al Zeali Administration
Officer
Date of Establishment : 03/09/1396 Hijri
(corresponding to 28th August 1976)
History : Subject began in 1976 under the name “Saudi
Aramco Lubricating Oil Refining Co
(LUBREF)”. However in December 2013 it
changed its name to “Saudi Aramco Base Oil
Company (LUBREF)”.
Legal Form : Limited Liability
Company
Commercial Reg. No. : 4030010447,
Jeddah
Chamber Member No. : 1150
Issued Capital : SR 441,000,000
Paid up Capital : SR 441,000,000
Name of
Shareholder (s) Percentage
Saudi Arabian Oil Company (Saudi Aramco) 70%
Jadwa Industrial Investment Co (JIIC) 30%
In November 2007, Jadwa Industrial Investment Co (JIIC) of Saudi Arabia
reached an agreement with ExxonMobil to acquire its interest in Luberef.
Activities: Engaged in the production of lubricating base oils.
The sole in-Kingdom producer of lubricating base
oils, Luberef owns and operates refineries in Jiddah (Luberef I) and
Yanbu' (Luberef II). The four base oils it produces are used in every lubricant
brand blended in Saudi Arabia, including Petromin Oils, Toyota, Castrol, Mobil,
Shell, Fuchs, Caltex and Gulf.
About 60 percent of Luberef’s
production is consumed locally. The balance is exported to GCC countries,
Eastern Mediterranean and Red Sea countries, East & South Africa and the
Indian subcontinent.
Luberef, established in 1976, produces around 550,000 tonnes per year of
oil lubricants at its two refineries on the kingdom's Red Sea coast at Jeddah
and Yanbu.
As a result of the expansion in the Yanbu refinery, which now has a
capacity of 280,000 tpy of oil lubricants, a type of base oil that is new to
the Gulf region will be produced.
U.S. Jacobs Engineering conducted front-end engineering and design
(FEED) for the expansion of the refinery, whose capacity will double once the
project is completed in 2015.
Import Countries: United States of
America and Europe.
Subject has a workforce of approximately 1,100 employees.
Companies registered in Saudi Arabia are not legally required to make
their accounts public and no financial information was released by the company
or submitted by outside sources.
Saudi American Bank
Andalous Street
PO Box: 490
Jeddah 21411
Tel: (966-2) 6533555
No complaints regarding subject’s payments have been reported.
During the course of this investigation nothing detrimental was uncovered
regarding subject’s operating history or the manner in which payments are
fulfilled. As such the company is considered to be a fair trade risk.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.56 |
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|
1 |
Rs.97.10 |
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Euro |
1 |
Rs.76.61 |
INFORMATION DETAILS
|
Analysis Done by
: |
RAS |
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Report Prepared
by : |
TPT |
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 |
-- |
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.