Chapter 376 Surprise
Su City is very supportive of purchasing a refinery and expanding the refining scale of Tianwen Oil Company.
After all, no matter how large the refining scale of the oil base here in Tuen Mun is, it cannot be completed in a short time.
In addition, Sioux City’s ambition is to build Tianwen Oil Company into a world-class oil company.
The Tuen Mun oil base alone cannot satisfy Sioux City.
Moreover, only if the refining scale of Tianwen Petroleum Company expands, the gas stations of Hutchison Petroleum Company can continue to increase their chain stores.
Tianwen Oil Company and Hutchison Oil Company are complementary to each other.
With Hutchison Petroleum Company’s gas stations, the oil refined by Tianwen Petroleum Company will not have to worry about lack of marketability.
With the refining capacity of Tianwen Petroleum Company, Hutchison Petroleum Company’s gas stations are not afraid of running out of refined oil.
“Boss, why can’t the Indonesian oil refining company buy it?” Li Yihui asked in surprise.
This refinery in Indonesia has an annual refining capacity of 6 million tons of crude oil. In this era, it is indeed considered a large refinery.
Therefore, Li Yihui felt that winning this oil refining company would be of great help to Tianwen Oil Company.
It’s just that he doesn’t understand why Su City doesn’t want to acquire the oil refining company there so directly.
"I don't like the business environment there. It's very risky." Su Cheng said simply.
When he develops business, he always develops in places with a relatively good business environment. As for risky places, he will not invest.
That place is not friendly to outsiders. With such a business environment, why should he invest there? Might as well just throw the money away.
"Okay boss, as for other oil refining companies, I plan to negotiate with them one after another in the near future and win them one by one." Li Yihui nodded and said.
Although Li Yihui was a little disapproving, he still didn't say anything else. The boss had the final say. The absence of this one company would not affect his development plan.
Moreover, even if it was really necessary, he could find a replacement refinery if he took some time.
After all, his years in the oil industry were not in vain.
"I'll find a negotiation team to help you negotiate prices with them." Su Cheng said with a smile.
When I bought Wandehan Bank before, I sent a team of negotiators to assist in the negotiations. Not only did I successfully win Wandehan Bank, but I also got it at a low price.
"No problem, boss." Li Yihui nodded.
Except for the Indonesian refinery, the remaining 12 refineries now cost more than HK$500 million in total quotations.
Among them, the price quoted by the oil refining company in Singapore exceeded HK$100 million.
Of course, these intended sales quotes must be higher.
So, there is still quite a lot of room for price negotiation.
In this period of relatively poor market economy, Sioux City can enjoy bargaining with the dragon-slaying knife.
After all, Li Yihui is not a professional in this field, so relying on his words alone, Su City will definitely have to pay a lot more money.
Although he has a lot of money now, he is not willing to lose money casually, so if he finds a negotiation team to cooperate with him, he will not only be able to win these refineries faster, but also keep the price to the lowest.
Su City is quite satisfied with the oil refining companies in Li Yihui's hands. In particular, the petrochemical company in Singapore named Neio surprised Sioux City even more.
According to data, the NEio refinery can process 10 million tons of crude oil, produce 1 million tons of ethylene products, and 1.6 million tons of aromatic products every year.
According to international standard calculations, 1 ton of oil is roughly equivalent to 7 barrels of oil.
In other words, this refinery can refine 70 million barrels of crude oil a year. This kind of refining capacity is indeed very strong.
In addition, the combined annual refining capacity of the other 11 petrochemical refining companies also reaches 28 million tons.
With them captured, Hutchison Oil Company can expand unbridled.
The scale of the NEio refinery is rare in this era.
Sioux City feels it is worth it even if it costs HK$100 million to win over such a petrochemical company.
Of course, the bargaining dragon-slaying knife must cut down, not only the cut, but also the big cut. How far it can be cut depends on the ability of the negotiation team.
What Sioux City values most is the petrochemical company’s complete refining capabilities.
Chemical raw materials can be directly produced when processing crude oil. In addition to conventional products such as gasoline and diesel, special products such as lubricants, high-grade asphalt, and industrial white oil can also be produced.
In addition to processing crude oil, the aromatic hydrocarbon products mentioned above are chemical raw materials.
Ethylene is also known as the "mother of the petrochemical industry" and has a decisive influence on most of today's chemical production and industrial chain extension.
So, if Tianwen Petroleum Company wins this petrochemical company, Tianwen Petroleum Company's petroleum product chain will be further improved.
Sure enough, it was a wise choice to agree to Li Yihui becoming the president of Tianwen Oil Company.
Such talents are definitely lacking in the oil industry.
Leaving aside his management abilities in Suzhou, Li Yihui’s connections in the oil industry alone were worthy of asking about the position of president of an oil company that day.
“Are you getting used to working here?” Su Cheng asked after talking about the acquisition of the refinery.
"It's okay. The cultural environment in Xiangjiang is not much different from that in Singapore, so it's easy to get used to it." Li Yihui replied.
"I am currently building a headquarters office area in Tseung Kwan O. When the headquarters of Tianwen Petroleum Company is moved there, your office environment will be much better." Su Cheng said with a smile.
Today, since the Tuen Mun Oil Base is the largest project of Tianwen Oil Company, the actual headquarters of Tianwen Oil Company is here.
However, after Tianwen Petroleum Company becomes internationalized in the future, its headquarters will definitely not be placed here.
After all, by then, Tuen Mun will be just one of the projects of Tianwen Petroleum Company. This is a remote area in Xiangjiang. It will be troublesome for partners to come to discuss business and is not suitable for a company. Headquarters of international companies.
"Well, after the oil base here is built, the office will have to be moved. It is best to move to the city, but Tseung Kwan O is also okay." Li Yihui nodded.
Of course Li Yihui also knew about the situation at Tseung Kwan O, and also knew that Su City's plans there were quite high-end, and these had all been reported through the media.
After all, that is the boss’s territory in Suzhou City. Although it is not the city center, it is close to the city and has a good environment. It is close to the mountains and the sea. Of course, Li Yihui likes to be able to work there.
On the contrary, Tuen Mun is a remote suburb, and it was an uninhabited place before. Although it has begun to develop, it is just a remote new market.
(End of this chapter)