AFCO Energy refines business with Asian expansion and new products
Independent trading company sees an opportunity to enter Thailand, Vietnam and Indonesia, and diversify into crude, fuel oil and dirty products
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With Asia-Pacific projected to import over US$500 billion worth of oil this year due to swelling demand and shrinking production, Singapore-based international oil trader AFCO Energy is in an advantageous position to expand its business.
The independent trading company – which specialises in energy trading services and sources, stores, blends and delivers a vast range of energy products to customers around the world – sees an opportunity to enter Southeast Asian markets such as Thailand, Vietnam and Indonesia, and diversify into crude, fuel oil and dirty products.
“Singapore is an unrivalled hub for oil companies in Asia-Pacific due to its favourable government regulations, security and financial advantages – we wouldn’t establish our regional headquarters anywhere else,” says Ali Nael, managing director.
“Our global reach and more than 10 years of business experience in the region sets us apart from the competition. Asia is very relationship-centred. Building a successful and trustworthy reputation comes with a lot of hard work and commitment, and this is something we’ve refined over the years.”
Apart from its Singapore headquarters, AFCO Energy has a wide geographical footprint across different continents – with offices in the Netherlands, India, the United States and China.
From gasoline, gasoline components, gasoil and biodiesel to petrochemicals such as benzene, paraxylene, toluene and styrene monomer, the company sources its products from an extensive global network of suppliers with long-term contracts. Its strong relationships with storage and shipping companies also give customers – ranging from government-owned oil companies to small end-users – added supply chain value through timely transport and cost-effective storage arrangements.
AFCO Energy also seeks Chinese clients for its oil trading services due to China’s increasing refining capacity.
“Because we are a well-structured entity, we can provide a lot more flexibility to our customers and also timely service because we don’t have a lot of bureaucracy,” Nael says. “We stand for reliability and first-class service – going beyond a transaction to personally assist our clients in whatever they need.”