A new commercial agreement defines a renewed cooperation model for calendar year 2018. It secures Neste a significant share of the output of the base oils joint venture (JV) plant for 2018, allowing Neste to continue supplying its full customer portfolio. It also enables Bapco to launch its own brand to the global market from 1 January 2018.
The commercial agreement is a clear signal that both partners have ambitions to not only cement their respective positions as players in the Group III base oils market, but to address an ever-changing industry by being flexible and agile in their relationship, ensuring both continue to thrive in any market situation.
Neste continues to hold a 45% share of the JV manufacturing plant, while Bapco and OGHC own a total of 55% shares. The JV agreements remain unchanged, and Bapco continues to be the sole operator of the plant located at the Bapco oil refinery in Bahrain.
Read the article online at: https://www.hydrocarbonengineering.com/refining/10112017/neste-and-bapco-renew-commercial-collaboration-agreement/