MIRA INFORM REPORT

 

 

Report No. :

344920

Report Date :

14.10.2015

 

IDENTIFICATION DETAILS

 

Name :

SINGAPORE PETROLEUM CO. (HONG KONG) LTD.

 

 

Formerly Known As :

SINGAPORE PETROLEUM (HONG KONG) LTD.

 

 

Registered Office :

Room 1205, 12/F., Central Plaza, 18 Harbour Road, Wanchai,

 

 

Country :

Hong Kong

 

 

Date of Incorporation :

13.01.1984

 

 

Com. Reg. No.:

09151875

 

 

Legal Form :

Private Limited Company.

 

 

Line of Business :

Petroleum Trader.

 

 

No. of Employees :

15

 

 

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 :

Good

 

 

Payment Behaviour :

Regular

 

 

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 – March 31, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

Hong Kong

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

HONG KONG - ECONOMIC OVERVIEW

 

Hong Kong has a free market economy, highly dependent on international trade and finance - the value of goods and services trade, including the sizable share of re-exports, is about four times GDP. Hong Kong has no tariffs on imported goods, and it levies excise duties on only four commodities, whether imported or produced locally: hard alcohol, tobacco, hydrocarbon oil, and methyl alcohol. There are no quotas or dumping laws. Hong Kong's open economy left it exposed to the global economic slowdown that began in 2008. Although increasing integration with China, through trade, tourism, and financial links, helped it to make an initial recovery more quickly than many observers anticipated, its continued reliance on foreign trade and investment leaves it vulnerable to renewed global financial market volatility or a slowdown in the global economy. The Hong Kong government is promoting the Special Administrative Region (SAR) as the site for Chinese renminbi (RMB) internationalization. Hong Kong residents are allowed to establish RMB-denominated savings accounts; RMB-denominated corporate and Chinese government bonds have been issued in Hong Kong; and RMB trade settlement is allowed. The territory far exceeded the RMB conversion quota set by Beijing for trade settlements in 2010 due to the growth of earnings from exports to the mainland. RMB deposits grew to roughly 12.5% of total system deposits in Hong Kong by the end of 2014. The government is pursuing efforts to introduce additional use of RMB in Hong Kong financial markets and is seeking to expand the RMB quota. The mainland has long been Hong Kong's largest trading partner, accounting for about half of Hong Kong's total trade by value. Hong Kong's natural resources are limited, and food and raw materials must be imported. As a result of China's easing of travel restrictions, the number of mainland tourists to the territory has surged from 4.5 million in 2001 to 47.3 million in 2014, outnumbering visitors from all other countries combined. Hong Kong has also established itself as the premier stock market for Chinese firms seeking to list abroad. In 2014 mainland Chinese companies constituted about 50% of the firms listed on the Hong Kong Stock Exchange and accounted for about 60.1% of the Exchange's market capitalization. During the past decade, as Hong Kong's manufacturing industry moved to the mainland, its service industry has grown rapidly. Credit expansion and tight housing supply conditions have caused Hong Kong property prices to rise rapidly; consumer prices increased by more than 4.4% in 2014. Lower and middle income segments of the population are increasingly unable to afford adequate housing. Hong Kong continues to link its currency closely to the US dollar, maintaining an arrangement established in 1983. In 2014, Hong Kong and China signed a new agreement on achieving basic liberalization of trade in services in Guangdong Province under the Closer Economic Partnership Agreement, adopted in 2003 to forge closer ties between Hong Kong and the mainland. The new measures, effective from March 2015, cover a negative list and a most-favored treatment provision, and will improve access to the mainland's service sector for Hong Kong-based companies.

 

Source : CIA

 

Company name and address

 

SINGAPORE  PETROLEUM  CO.  (HONG  KONG)  LTD.

 

 

ADDRESS:       Room 1205, 12/F., Central Plaza, 18 Harbour Road, Wanchai, Hong Kong.

 

PHONE:            852-3678 2296

 

FAX:                 852-2511 0867

 

E-MAIL:            marine@spc-hk.com.hk

 

MANAGEMENT:

 

Managing Director:  Mr. Wang Zhi Jun

 

 

SUMMARY

 

Incorporated on:            13th January, 1984.

 

Organization:                 Private Limited Company.

 

Issued Share Capital:     US$20,000.00

 

Business Category:       Petroleum Trader.

 

Group Turnover:            RMB2,282,962 million Yuan  (Year ended 31-12-2014)

 

Employees:                  15.

 

Main Dealing Banker:     Bank of China (Hong Kong) Ltd., Hong Kong.

 

Banking Relation:          Good.

 

 

ADDRESS

 

Registered Head Office:-

Room 1205, 12/F., Central Plaza, 18 Harbour Road, Wanchai, Hong Kong.

 

Immediate Holding Company:-

APT Success Ltd., British Virgin Islands.

 

Intermediate Holding Company:-

PetroChina International (Hong Kong) Corporation Ltd., Hong Kong.

Ultimate Holding Company:-

PetroChina Co. Ltd., China.

[A subsidiary of China National Petroleum Corporation, China.]

 

Associated/Affiliated Companies:-

Arrow Energy Holdings Pty. Ltd., Australia.

China Marine Bunker (PetroChina) Co. Ltd., China.

China Petroleum Finance Co. Ltd., China.

CNPC Captive Insurance Co. Ltd., China.

CNPC Exploration and Development Co. Ltd., China.

Dalian West Pacific Petrochemical Co. Ltd., Chna.

Daqing Oilfield Co. Ltd., China.

PetroChina East Pipeline Co. Ltd., China.

PetroChina Hong Kong Ltd., Hong Kong.

PetroChina International Co. Ltd., China.

PetroChina International Investment Co. Ltd., China.

PetroChina Northwest United Pipeline Co. Ltd., China.

PetroChina United Pipelines Co. Ltd., China.

Soaring Dragon Enterprise Ltd., Hong Kong.

PetroChina Group of Companies

 

 

BUSINESS REGISTRATION NUMBER

 

09151875

 

 

COMPANY FILE NUMBER

 

0132252

 

 

MANAGEMENT

 

Managing Director:  Mr. Wang Zhi Jun

 

 

ISSUED SHARE CAPITAL

 

US$20,000.00

 

 

SHAREHOLDER

 

(As per registry dated 13-01-2015)

Name

 

No. of shares

APT Success Ltd.

P. O. Box 957, Offshore Incorporations Centre, Road Town, Tortola, British Virgin Islands.

 

10,000

======

 

 

DIRECTORS  

 

(As per registry dated 13-01-2015)

Name (Nationality)

Address

WANG Zhi Jun

12/F., Central Plaza, 18 Harbour Road, Wancahi, Hong Kong.

CHOU Hiu Bun

12/F., Central Plaza, 18 Harbour Road, Wancahi, Hong Kong.

WU Chen

12/F., Central Plaza, 18 Harbour Road, Wancahi, Hong Kong

XIE Xingxiang

12/F., Central Plaza, 18 Harbour Road, Wancahi, Hong Kong

 

 

SECRETARY

 

(As per registry dated 13-01-2015)

Name

Address

Co. No.

Capital Corporate Services Ltd.

Unit F, 7/F., CNT Tower, 338 Hennessy Road, Wanchai, Hong Kong.

0103422

 

 

HISTORY

 

The subject was incorporated on 13th January, 1984 as a private limited liability company under the Hong Kong Companies Ordinance.

Originally the subject was registered under the name of Singapore Petroleum (Hong Kong) Ltd., name changed to the present style on 21st August, 1984.

Apart from these, neither material change nor amendment has been ever traced and noted.

 

 

OPERATIONS

 

Activities:          Petroleum Trader.

 

Lines:  

 

Employees:      15.

 

Commodities Imported: Singapore.

 

Markets:            Hong Kong, China.

 

Group Turnover (PetroChina Group):-

RMB1,465,415 million Yuan  (Year ended 31-12-2010)

RMB2,003,843 million Yuan  (Year ended 31-12-2011)

RMB2,195,296 million Yuan  (Year ended 31-12-2012)

RMB2,258,124 million Yuan  (Year ended 31-12-2013)

RMB2,282,962 million Yuan  (Year ended 31-12-2014)

 

Terms/Sales:  As per contracted.

 

Terms/Buying:  Various terms.

 

 

FINANCIAL INFORMATION

 

Issued Share Capital: US$20,000.00

 

Group Net Profit (PetroChina Group):-

RMB150,792 million Yuan  (Year ended 31-12-2010)

RMB145,959 million Yuan  (Year ended 31-12-2011)

RMB130,620 million Yuan  (Year ended 31-12-2012)

RMB142,274 million Yuan  (Year ended 31-12-2013)

RMB119,028 million Yuan  (Year ended 31-12-2014)

 

Group Total Equity (PetroChina Group):-

RMB1,010,129 million Yuan  (As at 31-12-2010)

RMB1,082,546 million Yuan  (As at 31-12-2011)

RMB1,180,748 million Yuan  (As at 31-12-2012)

RMB1,269,935 million Yaun  (As at 31-12-2013)

RMB1,317,781 million Yuan  (As at 31-12-2014)

 

Profit or Loss:   Making a small profit every year.

 

Condition:         Keeping in a satisfactory manner.

 

Facilities:          Making rather active use of general banking facilities.

 

Payment:          Met trade commitments as required.

 

Commercial Morality:  Satisfactory.

Banker:  Bank of China (Hong Kong) Ltd., Hong Kong.

 

Standing:  Good.

 

 

GENERAL

 

Singapore Petroleum Co. (Hong Kong) Ltd. is a wholly-owned subsidiary of APT Success Ltd. [APT] which is a BVI-registered company.

APT is wholly-owned by PetroChina International (Hong Kong) Corporation Ltd. [PCIHK] located at the same building.

The subject is specialized in bunker trading.  Its business territories covers Hong Kong, China, Singapore, Taiwan, Fujairah and the other ports.

The ultimate holding company of the subject is PetroChina Co. Ltd. [PCCL], a China-based company.

Currently, PCIHK provides a wide range of quality fuel products and services to its customers as follow:-

 

Filling Stations:

With the ever improving filling station network in Hong Kong, PCIHK provides full range of fuel products, good quality of services and convenience store to all its customers 24 hours a day and 7 days a week.  At designated stations, car care and car wash services are also provided.

 

Marine Fuel:

Through its subsidiary, Soaring Dragon Enterprise Ltd. [SDEL], PCIHK is one of the major marine fuel suppliers in Hong Kong waters to serve a variety of ships. SDEL is the company which was the pioneer to grant the ISO certified physical supplier in Hong Kong.

Another subsidiary, Singapore Petroleum Co (Hong Kong) Ltd [SPCHK] is also wholly owned by PCIHK.  SPCHK specialized on Bunker Trading covering Taiwan, Hong Kong, China, Singapore, Fujairah and other ports.  It has its own fleet of barges in Hong Kong including "Golden Dragon 268".

 

Aviation Fuel:

PCIHK is one of leading aviation fuel suppliers in Hong Kong International Airport.  It has established brand recognition in the aviation industry with quality fuel, reliable supply, e-billing system and total solutions for customers.

 

Natural Gas:

In early 2013, the supply of natural gas from China to the power plant in Hong Kong through the West East Pipeline project had been started and PCIHK became one of the major suppliers of natural gas in Hong Kong.

PCCL is the largest oil and gas producer and distributor, playing a dominant role in the oil and gas industry in China.  It is not only one of the companies with the biggest sales revenue in China, but also one of the largest oil companies in the world.

PCCL is a public listed company with China National Petroleum Corporation [CNPC] as its major shareholder.  PCCL was established in China on 5th November, 1999 as a joint stock company with limited liability as a result of a group restructuring of CNPC in preparation for the listing of the Company’s shares in Hong Kong and in the United States of America in 2000.  PCCL is the investment holding company of the PetroChina Group.  The Group is principally engaged in (i) the exploration, development and production and marketing of crude oil and natural gas; (ii) the refining of crude oil and petroleum products, production and marketing of primary petrochemical products, derivative petrochemical products and other chemical products; (iii) the marketing of refined products and trading business; and (iv) the transmission of natural gas, crude oil and refined products and the sale of natural gas.

For the year ended 31st December, 2014, the turnover of PetroChina Group amounted to RMB2,282,962 million Yuan (2013: RMB2,258,124 million Yuan).  Group net profit amounted to RMB119,028 million Yuan (2013: RMB142,274 million Yuan).

The subject is fully supported by PCIHK and ultimately by PCCL.

As the history of the subject is over 31 years and nine months in Hong Kong, on the whole, consider it good for normal credit requirements.


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.65.02

UK Pound

1

Rs.99.89

Euro

1

Rs.73.92

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

Report Prepared by :

TRU

 

               

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%)

 

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