Rusneftegaz can announce that our organization has signed a series of agreements with various suppliers across the globe to significantly increase our trading volumes of synthetic fertilizers in the immediate future. Although we have previously exchanged agrochemicals upon occasion during the past five years, such business has been exclusively based upon single transactions with a select number of third parties whom have been assessed as being creditworthy. Under the expanded scheme, our company will be able to purchase and sell a greater variety of products directly from the corresponding production plants on a routine basis, all of which we have a pre-existing and established commercial relationship. Notwithstanding the fact that our primary area of interest shall continue to be crude oil and refined petroleum, the majority of the refineries that we frequently engage with also retain the capacity to create vast quantities of the nitrogen fertilizer within the same facility. Thus, we will be able to capitalize upon these connections, whilst also benefiting from the excellent transportation links to logistical hubs that these sites possess. In response to the public disclosure of these plans, our Deputy Chief Executive Officer, Aleksandr Filyurin, delivered the following remarks:
“Firstly, I would like to express my thanks to Igor and his team, who have worked so hard to set this up. I know that this particular industry is not his area of expertise, so he has had to work twice as hard to do all the research necessary before he can make the big decisions. Now, we are realistic about this, this is not going to become the largest area of our business any time soon. But we think that it is important to capitalize on the opportunity presented to us here. At the end of the day, when you are presented with a business proposal from someone that you have worked with for a long time, it would be naïve not to take time to think about it. We are one of the foremost traders in Russian oil products now, we have a great track record, and in the few years since we began commodity trading, we now report revenues in the billions each year. There is a reason why these companies want to work with us, to do business with us, it is because we always deliver great results. Okay, we are not planning on expanding into any new areas of business at this time, but we can still embrace all areas of petroleum trading, whether that is crude, or fertilizers or any of the types of oil-based product when the right proposal is presented to us. Ultimately, we have the financial resources and intellectual capabilities to take those chances, and I have the utmost confidence that this new venture will be a success.”
Despite the fact that this scheme is yet to be fully implemented, our company is midway through executing a comprehensive strategy to ensure the viability of this project. Similarly to our trading division, our agrochemical interests are also to be based in New York, with our executive leadership concluding that the city will provide us with the infrastructure to expand this particular area of our interest in the years ahead. For instance, we are currently in the process of recruiting a director to lead this department, whilst simultaneously providing us with the expertise and commercial contacts to guarantee that this plan delivers the desired results. An announcement regarding this vacancy is expected in due course, with the chosen candidate set to market a range of products, such as urea and various grades of ammonia. With such compounds essential to this trade, we have been required to make additional investment to build the apparatus to make this program prosper. In spite of the fact that these expenditures are relatively nominal in comparison to the monies we expend in our petroleum and energy divisions, our management believes that expending further funds will not be necessary in the future, with our firm able to rely upon third parties instead. This is broadly similar to our existing marketing operations, which now create the majority of our global revenues, where Rusneftegaz works with an array of partners to deliver fuels to every corner of the world. Although these investments represent a risk on behalf of our corporation, it must be noted that this industry continues to grow rapidly, and there is an erstwhile belief amongst our directors that this can ultimately become a lucrative venture for our enterprise. Any queries pertaining to this matter, including any business inquiries for any goods mentioned in this article, should be submitted via the usual channels, namely by email or telephone. We necessitate your cooperation and understanding while this plan is executed.
