Energy/SPRC

Editorial staff

Star Petroleum Refining Plc (SPRC) announced its first quarter 2024 financial results of a net profit of US$110 million.

Also, the company expected continued growth until 2026.

Robert Dobrik, SPRC's CEO and director, reported a net profit of US$110 million in the first quarter of 2024.

Robert Dobrik

This is an increase compared to US$36 million in the first quarter of 2023. The profit is driven by higher refining margins, stock gains from higher average oil prices and includes results of the new fuels marketing business acquired on 3 January 2024.

The utilization rate for the crude intake in the first quarter of this year was 167 thousand barrels per day, or equivalent to 96% of its refining capacity which was higher than the prior quarter.

The market gross refining margin in the first quarter of this year was US$8.31/bbl compared to US$6.36/bbl in the first quarter of 2023 due to significant decreases in crude premium with higher margin from shifting of product from Euro IV to Euro V.

Additionally, the company improved margin capture through the Bottom-Line Improvement Program (BLIP) optimizing the fully integrated refining and marketing value chain across the enterprise.

“SPRC is poised to capture significant growth and strategic value chain opportunities. The company will continue to maximize utilization while monitoring market conditions to optimize enterprise margins. Our capital management will continue to explore future opportunities for shareholders through our 2026 Turnaround & Inspection (T&I) plan and beyond,” Mr Dobrik said.