Baku. 28 January. REPORT.AZ/ SOCAR is an oil production company with refineries in the Middle East. When the volume for crude oil rocketed from four million barrels to 20 million barrels a month in 2007, the company set up its own trading house, and SOCAR Trading was born.
“As these rising quantities were difficult to export, we decided to open a trading house for trading and marketing the oil to end users. No doubt, we were newcomers in the market, and at that time we lacked experience in trading. It was really a challenge, but we have succeeded,” Report informs, says Director and CEO Arzu Azimov.
“We consider ourselves the best trading company in our industry today, boasting strong customer orientation, a high level of flexibility and a profound attachment to the oil and gas industry.” SOCAR Trading shows a welladvanced market position in crude oil, and only recently the trading company has stepped into gas and power projects. “Crude oil trading and products from third parties are the bread and butter of our business,” points out Mr. Azimov.
“We have a close eye on emerging markets where we might gain advantages. China, India, Africa – these are only some examples. For instance, we are constantly working in Africa, participating in all tenders for exporting. We are always looking for opportunities to buy and sell.” For 2016, SOCAR Trading is setting its goal for growth and gain on equity by generating new trading activities, searching the market and meeting potential customers and counterparties.
“We will keep our presence in the physical market, but we will not become a pure trading company. We will certainly continue our production business,” states Mr. Azimov.
Another new development will be SOCAR Trading’s venture into the gas and power sector, which is regarded as the future in the fossil fuel market. “If we invest in the refining sector, we will experience the opportunities that will arise. We will stay integrated in the chain of crude oil in order to keep control. The more integrated we are, they more successful we are. Another important aspect which we are looking into will be business efficiency,” stresses Mr. Azimov.
“Our competitive advantage is our attachment to SOCAR as a state oil company and our position as a well-respected trading partner, which is also involved in third-party trading with a strong customer orientation,” says Mr. Azimov.