Petra Energy

Petroleum

Petra Energy trades various refined petroleum products globally as well as consumes its own products within its own distribution channels and retail operations. Petra buys product refined by Oil Majors, Independent Refiners and Processing Agreements and sells to many of our clients who are well known in the market place.

Petra Energy is trading mid distillates in substantial quantities and has entered into the Fuel Oil/Mazut market. With a Russian, Asian and African team in London, we are able to maintain close links with suppliers and the supply team in Russia, Asia and Africa so that the pitfalls of doing business in these areas is reduced. We use a combination of techniques that enables us to operate and perform in this sector and amongst them are key strategic planning, market and product knowledge, niche transaction management.

Petra is active in the entire operation from the Shipping, Inspection, Storage, Logistics, and Delivery to the Retail Forecourts.

Petra Energy has the resources to also manage third party transactions as part of its services rendered.

Gas

Petra Energy India has entered into a Joint Venture with Indian Auto Gas to establish our LPG business. Liquefied Petroleum Gas and Auto Gas is the primary business of our Gas division. Our teams have a wealth of experience in the Gas business which makes operating in the LPG/AutoGas market an enjoyable and rewarding experience.

We are appointing Franchisees and dealers to our Autogas business in India, Africa and Europe. We are constructing our own Company Owned Dealer Operated Retail Auto LPG Dispensing Stations (ALDS) in areas suitable for us.

We have agreements with experience producers for the Total Conversion system and Conversion who are able to arrange all the required statuary specification, designing the conversion centers, supply and erection of all the equipment and tools needed as per the requirements of statuary authorities in different countries, training of the technicians in the conversion centers and getting approval from the equipment manufacturers. Our systems are not a single branded Conversion Center. This comes with all major brands and their approvals. All the spare parts for different types of conversion kits are available from us. Our engineers are trained to service and repair all type of conversion kits.

Petra Energy are in the process of developing distribution networks including CODO (Company Owned Dealer Operated) and DODO (Dealer Owned Dealer Operated) operations in Africa. Auto LPG will be drawn from the terminal storage / Refineries / inland storage and it will be taken by the tanker trucks to the Auto LPG dispensing stations (ALDS).

Auto LPG will be supplied by the special trucks which are approved by the Chief Controller of Explosives. In all our ALDS we will provide a transmission system which will send the availability of Autogas in that ALDS on time to time to our storage terminal. An Software, Italian technology will be installed in the Terminal office and it will analyze the minimum order level of the particular ALDS based on their earlier 15 days sales and arrange the supply through the logistics system existing in that terminal.

The total distribution operation will be computerized which will enable the operations to run smoothly. This software will be installed to every Dispensing station and this will be connected with a telecommunication system The stock position and the sales position of every dispensing station will be automatically reported to the storage plant office.

This will enabling an automatic supply scheduling to the transport division by receiving the stock position in the storage tank of the Auto LPG dispensing Station and billing to the operators. This will enables the company to provide a world class un-interpreted service to the customers. This same type of supply chain will be established in all other terminals and the ALDS under that terminal

Refining

Petra has a Processing Agreement in place with the Tema Oil Refinery in Ghana, West Africa. The refinery covers a total area of 440,000 square meters. It is linked to an oil jetty at the Port of Tema by pipelines of various diameters for the transportation of crude oil and refined petroleum products. The refinery currently has a refining capacity of 45 000 bbls per day and Petra is working with Tema to increase the capacity to refine up to 145 000 bbls per day.

Petra has also entered into current negotiations with the Kenyan Petroleum Refinery, and is researching the opportunities of a processing agreement to refine our Crude. The company is negotiating further processing agreements in East Africa and India.

Petra Energy has formed various JV operations in countries that require the presence and experience of local players in the many countries that we operate in.

Some of the recent Joint Ventures are listed below,

The aim is intended to create a joint venture between the parties to carry on the business in dealing in the Products, storage of the Products and distributing and retail selling of the Products in Malawi, Zimbabwe, Mozambique and other SADC members.

The JV has tendered for the design, construction and management of a pipeline from Beira to Malawi and associated Strategic storage and distribution facilities (the “Pipeline Project”) and may be the successful bidders for the Pipeline Project. This will allow the JV to manage the pipeline and provide the feedstock into Malawi via the pipeline to secure a consistent supply of petroleum into the country.

Indian Auto Gas

Petra Energy India has entered into a Joint Venture with Indian Auto Gas to establish our LPG business. Liquefied Petroleum Gas and Auto Gas is the primary business of our Gas division. Our teams have a wealth of experience in the Gas business which makes operating in the LPG/AutoGas market an enjoyable and rewarding experience.

We are appointing Franchisees and dealers to our Autogas business in India, Africa and Europe. We are constructing our own Company Owned Dealer Operated Retail Auto LPG Dispensing Stations (ALDS) in areas suitable for us.

We have agreements with experience producers for the Total Conversion system and Conversion who are able to arrange all the required statuary specification, designing the conversion centers, supply and erection of all the equipment and tools needed as per the requirements of statuary authorities in different countries, training of the technicians in the conversion centers and getting approval from the equipment manufacturers. Our systems are not a single branded Conversion Center. This comes with all major brands and their approvals. All the spare parts for different types of conversion kits are available from us. Our engineers are trained to service and repair all type of conversion kits.

Petra Energy are in the process of developing distribution networks including CODO (Company Owned Dealer Operated) and DODO (Dealer Owned Dealer Operated) operations in Africa.

Auto LPG will be drawn from the terminal storage / Refineries / inland storage and it will be taken by the tanker trucks to the Auto LPG dispensing stations (ALDS). Auto LPG will be supplied by the special trucks which are approved by the Chief Controller of Explosives. In all our ALDS we will provide a transmission system which will send the availability of Autogas in that ALDS on time to time to our storage terminal. An Software, Italian technology will be installed in the Terminal office and it will analyze the minimum order level of the particular ALDS based on their earlier 15 days sales and arrange the supply through the logistics system existing in that terminal. The total distribution operation will be computerized which will enable the operations to run smoothly. This software will be installed to every Dispensing station and this will be connected with a telecommunication system The stock position and the sales position of every dispensing station will be automatically reported to the storage plant office. This will enabling an automatic supply scheduling to the transport division by receiving the stock position in the storage tank of the Auto LPG dispensing Station and billing to the operators. This will enables the company to provide a world class un-interpreted service to the customers. This same type of supply chain will be established in all other terminals and the ALDS under that terminal

Trading Steps

Petra Energy Trading is a principle trader, We buy products as well as sell, We have the ability to fulfill demands, and negotiate on supply contracts efficiently. We have our own in-house compliance team who carries out verification of products as well as due diligence on companies we are not familiar with.

As part of ensuring we are able to offer our current and new customers a reliable and efficient service, we use the “KYC” process on all new relationships as this helps us maintain our ethos as a company.

Know your customer (KYC) is the due diligence we perform to identify our clients and ascertain relevant information pertinent to doing financial business with them. In the Know your customer policies have becoming increasingly important globally to prevent identity theft fraud, money laundering and terrorist financing. KYC should not be thought of as a form to be filled - it is a process to be undergone from the start of a customer relationship to the end.

One aspect of KYC checking is to verify that the customer is not on any list of known fraudsters, terrorists or money launderers, such as the Office of Foreign Assets Control's Specially Designated Nationals list. This list contains thousands of entries and is updated at least monthly. As well as sanctions lists there are lists of third party vendors that track links between persons regarded as high-risk owing to negative reports in the media about them or in public records.

Beyond name matching, a key aspect of KYC controls is to monitor transactions of a customer against their recorded profile, history on the customers account(s) and with peers.

Know Your Customer processes are also employed by regular companies of all sizes, for the purpose of ensuring their proposed agents', consultants' or distributors' anti-bribery compliance. Banks, insurers and export credit agencies are increasingly demanding that customers provide detailed anti-corruption due diligence information, to verify their probity and integrity.