Investment plans and information on the Greek market

Strategy and goals

With people as the focal point, Cyclon's main objective is to establish its leadership in the markets in which it is active through the development of satisfied customers, investors and employees.

 The driving force toward achieving this goal is:

• The high quality of services and products its produces and distributes;
• The ongoing improvement of production processes and management in order to ensure the continuing efficiency of the company's operation;
• The protection of the environment.

More specifically, Cyclon's strategy is based along the following axes:

• The realisation of investments in ongoing improvement of quality in products and services - for example, the standardisation of production processes and product distribution, ISO 9001:2008 certification, technological upgrade of the refinery and others.
• The expansion of the retail network in Greece and abroad, with an emphasis on the development of self-owned product and service distribution points and the creation of collaboration with local commercial representatives.

The lubricant sector in Greece

The main oils used in the production of lubricants are refined fractions of oil or synthetic materials or a blend of the two. The domestic lubricant market has seen an increase in the number of trade names available in recent years (more than 400 brand-name lubricants). The sector includes a significant number of companies ranging from multinational subsidiaries to small individual enterprises. However, the greatest market share (60%) is held by seven companies in the lubricant sector, including CYCLON.

Internal combustion engine lubricants, imported or domestically manufactured, must bear the approval of the Greek General Chemical State Laboratory, without which they cannot be sold on the market. The product specifications, as well as the methods of review, are set out in the General Chemical State Laboratory's decision 176/1994 (Official Government Gazette 421/B/6 June 1994).

The fuels sector in Greece

Crude oil is imported from oil-producing countries and once it is refined at domestic refineries, it is exported or distributed on the Greek market. With the exception of the Greek Public Power Corporation (DEH) and the Armed Forces, which are able to procure supplies directly from refineries, distribution of fuels in the domestic market is conducted by the commercial companies which undertake to supply service stations, manufacturers, homes, etc.

Heating oil has shown an annual increase of about 5% in recent years, but stopped in 2005. A drop in consumption is expected due to increased use of natural gas in the home.

Fuel oil is expected to see a continuing reduction in consumption. It will gradually be replaced by natural gas.