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Czech Rep: Unipetrol & Mero Agree CZ1bn

Czech Rep: Unipetrol & Mero Agree CZ1bn

 Unipetrol, PKN Orlen’s subsidiary, has reached an agreement with Czech pipeline operator Mero on new charges for pipeline transmission of crude oil.

 The contract has an estimated annual value of over one billion crowns and is effective as of April 1st 2016. The new tariffs ensure more favourable and flexible terms for Unipetrol.

The agreement introduces new charges for transmission of crude oil through the IKL and Druzhba pipelines in the Czech Republic, as well as for its transmission through the TAL pipeline, where Mero acts as an intermediary. The new tariffs mean considerable savings for Unipetrol as they will be charged in proportion to the amount of oil transported. The agreement, concluded for an indefinite term, is a result of negotiations carried out since 2010. Unipetrol and Mero have also signed a memorandum of understanding to further develop their partnership, also with respect to crude oil storage.

Reaching an agreement with Mero regarding transmission charges, as well as establishing a good relationship with our southern neighbours, was a matter of priority importance to us. I am glad we have been able to strike a compromise which both parties find satisfactory,” said Wojciech Jasiński, President of the PKN ORLEN Management Board. “Unipetrol is strategically important to the Group, as shown by the contracts we have just signed, as well as the investments we have made in the Czech Republic, such as the acquisition of all shares in Česká Rafinérská and the purchase of 68 service stations from Austria’s OMV,” said Wojciech Jasiński.

Mero uses the Druzhba and IKL pipelines to deliver oil to the Litvinov and Kralupy refineries of Česká Rafinérská (a wholly-owned subsidiary of Unipetrol), whose combined annual throughput is approximately 8.7 million tonnes. PetrolWorld 070416

Last modified onFriday, 08 April 2016 01:20
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