TIRANA, Feb. 2 – State-run Albpetrol company has announced a tender to sell 30,000 tonnes of crude oil, less than a third it sold last year in an unfavorable timing as international oil prices stand at a record low.
In an announcement, the state-run oil operator says it plans to sell 30,000 tonnes of crude oil at a starting price of about 70 percent of crude oil Brent price currently standing at slightly above $30 per barrel. The state-run operator also offers a $3.5/barrel discount in transportation and warehousing costs in the tender scheduled for Feb. 9.
Last year, state-run Albpetrol oil company which has been scheduled for privatization, announced the successful sale of 100,000 tonnes of crude oil to an Albanian operator for around $31 million (€28.7 mln) at 72 percent of crude oil Brent price of around $66 a barrel.
The huge amount was purchased by “TPD-Trading Petrol & Drilling” an Albanian operator part of the Sulaj Progres Group which also operates in real estate development and entertainment industry.
With international oil prices standing at a record low, the Albanian government has postponed privatization plans on the country’s state-run Albpetrol oil company.
In early 2013, the Albanian government invalidated a staggering bid worth €850 million on the privatization of Albpetrol oil firm after the winning bidder, Albanian-led Vetro Energy consortium, failed to pay the financial guarantee leading to the finalization of the contract. Albpetrol currently runs only 5 percent of the oil wells, some 1,200, while the remaining overwhelming majority is managed by foreign companies on concession contracts. The company’s assets are estimated at Euro 95 million.
