petroleum wholesale business plan

Crude Oil Refinery Business Plan [Sample Template]

By: Author Tony Martins Ajaero

Home » Business Plans » Oil & Gas Sector

Are you about starting a crude oil refinery? If YES, here is a complete sample crude oil refinery business plan template & feasibility report you can use for FREE .

Okay, so we have considered all the requirements for starting a crude oil refinery . We also took it further by analyzing and drafting a sample crude oil marketing plan template backed up by actionable guerrilla marketing ideas for crude oil refineries. So let’s proceed to the business planning section.

Crude oil is also popularly called black gold and is indeed a major source of income for countries where they have deposit of crude oil in commercial quantities.

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As a matter of fact, players in the crude oil or oil and gas industry are known to generate massive income year in year out. This is so because all over the world people depend on products from this industry in order to operate their machines and automobiles et al.

It is important to state that if you are tinkering with starting a crude oil refinery, even if it is on a small scale, you must be ready to cough out a huge start – capital. Crude oil refinery business is indeed a highly capital intensive  trade which is why in most cases, investors with same or similar business ideology pool their cash together to be able to set up their own crude oil refinery business.

If you are interested in starting a crude oil refinery business, then you have got to brace up to follow through the somewhat challenging processes required to fulfill you dream.

You should equally be ready to go through the bureaucracy needed before you can acquire your license and permit and also source for funds et al. Below is a sample crude oil refinery business plan that will help you successfully launch your own business;

A Sample Crude Oil Refinery Business Plan Template

1. industry overview.

The crude oil refinery industry is indeed strategic industry and players in this industry refine crude oil into petroleum products. Basically, petroleum refining involves one or more of the following activities: fractionation, straight distillation of crude oil and cracking.

A close study of the industry shows that establishments in the crude oil refinery industry experienced volatile conditions over the last five years. Rising crude oil prices powered revenue growth as refiners have passed costs down the distribution line.

Over the last five years, profit has steadily recovered in line with improving demand, while low domestic oil prices further bolstered margins. Going forward, profit is expected to rise marginally, though it remains below historic levels.

The Crude Oil Refinery Industry is a thriving sector of the economy of the united states, United Arab Emirates, Russia, Venezuela, Nigeria, Angola, Canada, Saudi Arabia and Kuwait. Statistics has it that in the United States of America alone, The Crude Oil Refinery Industry generates a whooping sum of well over $369 billion annually from more than 135 registered and licensed crude oil refineries.

The industry is responsible for the employment of well over 58,230 people. Experts project the industry to grow at a -14.2 percent annual rate. Chevron, Exxon Mobil, Shell, Phillips 66 and Marathon Petroleum Corporation are the leaders in The Crude Oil Refinery Industry, they have the lion share of the available market in the industry.

For aspiring entrepreneurs who are considering starting a crude oil refinery business whether on a small scale or in a large scale should ensure that he or she conducts a thorough and exhaustive market survey and feasibility studies so as to get it right.

The truth is that, this type of business do pretty well when it is strategically positioned. Any location that is close to oil wells is ideal for such business. Over and above, crude oil refinery business is indeed a profitable business venture and it is open to any aspiring entrepreneur to come in and establish his or her business as long as they have the finance and expertise.

2. Executive Summary

Seven Seas Oil & Gas, Inc. is a small scale but standard and licensed crude oil refinery business that will be based in Juneau – Alaska, United States. Although we intend starting out on a small scale, but that will not in any way stop us from maximizing our potential in the international crude oil industry.

We hope to grow the business so as to start exporting refined crude oil products from the United States to other countries of the world. Our business goal as a standard and licensed crude oil refinery business is to become one of the leading oil and gas companies.

Our business activities will involve; gasoline production, kerosene production, distillate fuel oil (diesel fuel) production, aviation fuel production, residual fuel oil production, lubricant production, producing aliphatic and aromatic chemicals as byproducts, diesel fuel oil, jet fuel, liquefied petroleum gases, residual fuel oil, other refined petroleum products.

We have been able to secure permits from all relevant departments in the State of Alaska to run the business. Seven Seas Oil & Gas, Inc. is set to build a highly profitable crude oil refinery business which is why we have put plans in place for continuous training of all our staff members at regular interval.

No doubt the demand for refined crude oil products is not going to plummet any time soon, which is why we have put plans in place to continue to explore all available market for our products. In the nearest future, we will ensure that we create a wide range of distribution channels across the United States and on a global scale. With that, we know we will be able to maximize profits in our business.

Seven Seas Oil & Gas, Inc. will at all times demonstrate her commitment to sustainability, both individually and as a firm, by actively participating in our communities and integrating sustainable business practices wherever possible. We will ensure that we hold ourselves accountable to the highest standards by meeting our customers’ needs precisely and completely.

We will cultivate a working environment that provides a human, sustainable approach to earning a living, and living in our world, for our partners, employees and for our customers.

Seven Seas Oil & Gas, Inc. is a family business that is owned by Mr. Andrew Coppersmiths and his immediate family members.  Mr. Coppersmiths has a B.Sc. in Petroleum Engineering from A & M University, Texas. He has well over 10 years of hands on experience in the oil and gas industry, working for some of the leading brand in the United States.

Although the business is launching out as a family owned business but there is a plan to invite other investors who has same investment ideology in other to grow the business.

3. Our Products and Services

Our intention of starting Seven Seas Oil & Gas, Inc. is to make profits from the crude oil refinery industry cum oil and gas industry and we will do all that is permitted by the law in the US to achieve our corporate aim and ambition. Below are some of our products offering;

• Gasoline production
• Kerosene production
• Distillate fuel oil (diesel fuel) production
• Aviation fuel production
• Residual fuel oil production
• Lubricant production
• Producing aliphatic and aromatic chemicals as byproducts
• Diesel fuel oil
• Liquefied petroleum gases
• Residual fuel oil
• Other refined petroleum products

4. Our Mission and Vision Statement

• Our vision as a crude oil refinery business is to build a highly profitable business that will have a strong global presence like companies such as Chevron , Shell and Exxon Mobile et al.
• Our mission is to establish a standard and world class crude oil refinery business that in our own capacity will favorably compete with leaders in the industry. We want to build a crude oil refinery business that will be listed amongst the top 20brands in the United States of America.

Our Business Structure

Ordinarily, we would have succeeded in running our small scale crude oil refinery business with few employees, but as part of our plan to build a top flight crude oil refinery business in Juneau – Alaska, we have perfected plans to get it right from the onset which is why we are going the extra mile to ensure that we have competent employees to occupy all the available positions in our company.

The picture of the kind of crude oil refinery business we intend building and the business goals we want to achieve is what have informed the amount we are ready to spend to ensure that we build a business with dedicated workforce and a robust distribution network that cut across the United States of America, and the global market.

In view of that, we have decided to hire qualified and competent hands to occupy the following positions at Seven Seas Oil & Gas, Inc.;

• Chief Executive Officer (President)

Crude Oil Refinery Manager / Petroleum Engineer

Human Resources and Admin Manager

• Sales and Marketing Officer
• Accountants / Cashiers

Crude Oil Refinery Machine Operators

• Tanker Drivers/Crude Oil Products Wholesale Distributors
• Customer Service Executives

5. Job Roles and Responsibilities

Chief Executive Officer – CEO (President):

• Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results; developing incentives; developing a climate for offering information and opinions; providing educational opportunities.
• Creates, communicates, and implements the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
• Responsible for fixing prices and signing business deals
• Responsible for providing direction for the business
• Responsible for signing checks and documents on behalf of the company
• Evaluates the success of the organization
• Responsible for overseeing the smooth running of the refinery
• Makes sure that quality is maintained at all times
• Maps out strategy that will lead to efficiency amongst workers in the refinery
• Responsible for training, evaluation and assessment of the workforce
• Ensures operation of equipment by completing preventive maintenance requirements; calling for repairs.
• Ensures that the refinery meets the expected safety and health standard at all times.
• Responsible for overseeing the smooth running of HR and administrative tasks for the organization
• Updates job knowledge by participating in educational opportunities; reading professional publications; maintaining personal networks; participating in professional organizations.
• Enhances department and organization reputation by accepting ownership for accomplishing new and different requests; exploring opportunities to add value to job accomplishments.
• Defines job positions for recruitment and managing interviewing process
• Carries out staff induction for new team members
• Responsible for training, evaluation and assessment of employees
• Oversees the smooth running of the daily business activities.

Sales and Marketing Manager

• Manages external research and coordinate all the internal sources of information to retain the organizations’ best customers and attract new ones
• Models demographic information and analyze the volumes of transactional data generated by customer purchases
• Identifies, prioritize, and reach out to new partners, and business opportunities et al
• Responsible for supervising implementation, advocate for the customer’s needs, and communicate with customers
• Develops, executes and evaluates new plans for expanding increase sales
• Documents all customer contact and information
• Represents the company in strategic meetings
• Helps to increase sales and growth for the company
• Responsible for operating crude oil refinery machines
• Actively involved in gasoline production, kerosene production, distillate fuel oil (diesel fuel) production, aviation fuel production, residual fuel oil production, lubricant production, producing aliphatic and aromatic chemicals as byproducts, diesel fuel oil, jet fuel, liquefied petroleum gases, residual fuel oil, and other refined petroleum products for the company.
• Handles any other duty as assigned by the palm oil processing plant manager

Accountant / Cashier

• Responsible for preparing financial reports, budgets, and financial statements for the organization
• Provides managements with financial analyses, development budgets, and accounting reports; analyzes financial feasibility for the most complex proposed projects; conducts market research to forecast trends and business conditions.
• Responsible for financial forecasting and risks analysis.
• Performs cash management, general ledger accounting, and financial reporting
• Responsible for developing and managing financial systems and policies
• Responsible for administering payrolls
• Ensures compliance with taxation legislation
• Handles all financial transactions for the organization
• Serves as internal auditor for the organization

Tanker Drivers / Crude Oil Products Wholesale Distributors

• Assists in loading and unloading crude oil products
• Maintains a logbook of their driving activities to ensure compliance with federal regulations governing the rest and work periods for operators.
• Keeps a record of vehicle inspections and make sure the truck is equipped with safety equipment
• Assists the transport and logistics manager in planning their route according to a delivery schedule.
• Local-delivery drivers may be required to sell products and businesses on their route, obtain signatures from recipients and collect cash.
• Transports petroleum products over land to and from the refinery to retail and distribution centers
• Inspects vehicles for mechanical items and safety issues and perform preventative maintenance
• Complies with truck driving rules and regulations (size, weight, route designations, parking, break periods etc.) as well as with company policies and procedures
• Collects and verify delivery instructions
• Reports defects, accidents or violations

Client Service Executive

• Ensures that all contacts with customer (e-mail, walk-In center, SMS or phone) provides the client with a personalized customer service experience of the highest level
• Through interaction with customers on the phone, uses every opportunity to build client’s interest in the company’s products and services
• Manages administrative duties assigned by the store manager in an effective and timely manner
• Consistently stays abreast of any new information on Delta Palm Oil Ventures products, promotional campaigns etc. to ensure accurate and helpful information is supplied to customers when they make enquiries

6. SWOT Analysis

Due to our drive for excellence when it comes to running a small scale but standard crude oil refinery business, we were able to engage some of the finest business consultants in the United States to look through our business concept and together we were able to critically examine the prospect of the business and to access ourselves to be sure we have what it takes to run a small scale but standard crude oil refinery business that can compete favorably in the oil and gas industry.

In view of that, we were able to take stock of our strengths, our weakness, our opportunities and also the threats that we are likely going to be exposed to in the United States and also in other parts of the world that we intend selling our crude oil products.

Here is a of what we got from the critically conducted SWOT Analysis Seven Seas Oil & Gas, Inc.;

Our strength lies in the fact that our refinery is strategically located in an oil and gas drilling area. We have state of the art crude oil refinery facility and equipment that has positioned us to meet the demand of petroleum products within our capacity even if the demand tripled overnight or if we have a massive order to meet and emergency need.

Another factor that counts to our advantage is the background of our Chief Executive Office; he has a robust experience in the oil and gas industry and also a pretty good academic qualification to match the experience acquired which has placed her amongst the top flight oil and gas experts.

We are not ignoring the fact that our team of highly qualified and dedicated workers will also serve as strength for our organization

We do not take for granted the fact that we have weaknesses. In fact, the reality that we are setting up a small scale crude oil refinery business in a city with other smaller and larger crude oil refinery businesses might likely pose a challenge for us in breaking into the already saturated market.

In essence our chosen location might be our weakness. But nevertheless, we have plans to launch out with a big bang. We know with that, we will be able to create a positive impression and we have a proper handle when it comes to building on already gather momentum.

• Opportunities:

The opportunities available to us are unlimited. Loads of people make use of petroleum products on a daily basis and all what we are going to do to push our push our products to them is already perfected. Juneau – Alaska is just ideal for crude oil refinery business because there are loads of oil wells in the State.

The threat that is likely going to confront us is the fact that we are competing with already established crude oil refinery businesses in United States and also there are other entrepreneurs who are likely going to launch similar business within the location of our business. Of course, they will compete with us in winning over the available market.

Another threat that we are likely going to face is unfavorable government policies and economic downturn. Usually economic downturn affects purchasing / spending powers and unfavorable government policies can hinder our free – flow of exporting crude oil products to other countries of the world.

7. MARKET ANALYSIS

• Market Trends

It is common trend in the crude oil refinery industry to find crude oil processing companies positioning their business in locations and communities where they can easily have access to fresh and cheap palm kernels.

If you make the mistake of positioning this type of business in a location where you would have to travel a distance before you can access crude oil, then you would have to struggle to make profits and maintain your overhead and logistics. Because a good chunk of your expenditure will go into transportation of the crude oil

So also another trend in this line of business is that most registered and well organized crude oil refinery companies look beyond the market within their locations; they are involved in exporting petroleum products to countries that do not have crude oil.

It is indeed a brisk business if you can secure reliable international client. Besides there is always a ready market for petroleum products all across the globe.

Lastly, in the bid to stay afloat and continue to make profits from this line of business, most standard and large scale crude oil refinery businesses tend to work hard to ensure that they own their crude oil wells. So also it is highly profitable to position this type of business in developing countries with crude oil in commercial quantities and fewer standard crude oil refineries.

Countries like Nigeria , Angola and Sao Tome and Principe readily come to mind if you can successfully secure the required license for such business.

8. Our Target Market

When it comes to retailing petroleum products, there is indeed a wide range of available customers. In essence, our target market can’t be restricted to just a group of people, but all those who make use of any of the following gasoline, kerosene, distillate fuel oil (diesel fuel), aviation fuel, residual fuel oil, lubricant, aliphatic and aromatic chemicals, diesel fuel oil, jet fuel, liquefied petroleum gases, residual fuel oil, other refined petroleum products..

One thing is certain; there are no restrictions to the demographic and psychographics composition of the target market for petroleum products in the world. This goes to show that the target market for petroleum products is wide and far reaching, you can create your own make niche yourself to serve a specific purpose.

In view of that, we have conducted our market research and we have ideas of what our target market would be expecting from us. We are in business to engage in retailing and wholesale distribution cum exporting of petroleum products to the following groups of people;

• Cars cum automobile owners
• Generators cum plant owners
• Corporate organization
• Households who make use of petroleum products
• Industries that depends on raw materials from crude oil manufacturing industries to produce their products
• Restaurants and canteens that make use of petroleum products
• The shipping industries
• The aviation industry

Our Competitive Advantage

First and foremost, the fact that anybody or group of investors with good financial standings and business interest in the oil and gas sector can decide to start a crude oil refinery business means that the business is open to all and sundry hence it is expected that there will be high – level competition in the industry.

There is hardly any crude oil producing communities that you wouldn’t find several crude oil refineries business especially on a small scale level.

As a small scale but standard crude oil refinery business, we know that gaining a competitive edge requires a detailed analysis of the demographics of the surrounding area and the nature of existing competitors. And even if you are successful at first, new competitors could enter your market at any time to steal your regular customers. Hence we will not hesitate to adopt successful and workable strategies from our competitors.

We are going to be one of the very few small scales but standard crude oil refineries in Juneau – Alaska that will also engage in wholesale distribution of petroleum products all across the United States of America and also export petroleum products to other countries of the world.

Another competitive advantage that we have is the vast experience of our management team, we have people on board who are highly experienced and understands how to grow business from the scratch to becoming a national phenomenon, especially businesses in the oil and gas sector.

Our large and robust distribution network and of course our excellent customer service culture will definitely count as a strong strength for the business. One thing is certain, we will ensure that in future, we own our crude oil well and grow big to favorable compete with leaders in the industry. With that our brand will be well communicated and accepted nationally.

Lastly, our employees will be well taken care of, and their welfare package will be among the best within our category (startups small scale but standard crude refinery companies) in the industry, meaning that they will be more than willing to build the business with us and help deliver our set goals and achieve all our aims and objectives.

We will also give good working conditions and commissions to freelance sales agents that we will recruit from time to time.

9. SALES AND MARKETING STRATEGY

• Sources of Income

Seven Seas Oil & Gas, Inc. is established with the aim of maximizing profits in the crude oil refinery industry cum oil and gas industry both in the United States of America and throughout the world.

We are going to go all the way to ensure that we do all it takes to sell our petroleum products both in retail and wholesale to a wide range of customers who make use of petroleum products. Seven Seas Oil & Gas, Inc. will generate income by simply selling the following petroleum products;

• Distillate fuel oil (diesel fuel)
• Aviation fuel
• aliphatic and aromatic chemicals as byproducts

10. Sales Forecast

One thing is certain when it comes to crude oil refinery business, if your business is centrally positioned and easily accessible, you will always attract customers cum sales and that will sure translate to increase in revenue generation for the business.

We are well positioned to take on the available market in the United States of America and every other country of the world where we intend exporting our petroleum products to and we are quite optimistic that we will meet our set target of generating enough income / profits from the first six month of operations and grow the business and our clientele base.

We have been able to critically examine the crude oil refinery industry cum oil and gas industry and we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. The sales projection is based on information gathered on the field and some assumptions that are peculiar to similar startups in Juneau – Alaska, United States.

Below are the sales projection for Seven Seas Oil & Gas, Inc., it is based on the location of our business and other factors as it relates to small scale and medium scale crude oil refinery company start – ups in the United States;

• First Fiscal Year-: $2Million
• Second Fiscal Year-: $5Million
• Third Fiscal Year-: $10Million

N.B : This projection is done based on what is obtainable in the industry and with the assumption that there won’t be any major economic meltdown and there won’t be any major competitor offering same petroleum product and customer care services as we do within same location. Please note that the above projection might be lower and at the same time it might be higher.

• Marketing Strategy and Sales Strategy

Before choosing a location to launch Seven Seas Oil & Gas, Inc., we conduct a thorough market survey and feasibility studies in order for us to be able to be able to penetrate the available market in Nigeria and the international market.

We have detailed information and data that we were able to utilize to structure our business to attract the numbers of customers we want to attract per time and also for to compete with other small scale but standard crude oil refinery companies.

We hired experts who have a good understanding of the crude oil refinery industry cum oil and gas industry to help us develop marketing strategies that will help us achieve our business goal of winning a larger percentage of the available market for our petroleum products.

In order to continue to be in business and grow, we must continue to sell our petroleum products to the available market which is why we will go all out to empower or sales and marketing team to deliver our corporate sales goals. In summary, Seven Seas Oil & Gas, Inc. will adopt the following sales and marketing approach to sell our wide range of cupcake flavors;

• Introduce our business by sending introductory letters to residence, merchants and other stakeholders both in United States of America and abroad.
• Open our crude oil refinery business with a party so as to capture the attention of residence who are our first targets
• Engage in road show in targeted communities  from time to time to market our brand
• Advertise our products in community based newspapers, local TV and radio stations
• List our business and products on yellow pages ads  (local directories)
• Leverage on the internet to promote our product cum business
• Engage in direct marketing and sales
• Encourage the use of Word of mouth marketing (referrals)

11. Publicity and Advertising Strategy

Regardless of the fact that our crude oil refinery business is a standard one that can favorably compete with other small scale but standard crude oil refineries in The United States of America and in any part of the world, we will still go ahead to intensify publicity for all our products and brand. We are going to explore all available means to promote Seven Seas Oil & Gas, Inc.

Seven Seas Oil & Gas, Inc. has a long term plan of owning our own oil well in Africa and exports our product all across the world. This is why we will deliberately build our brand to be well accepted in Juneau – Alaska before venturing out to other cities in United States of America and the world.

As a matter of fact, our publicity and advertising strategy is not solely for selling our products but to also effectively communicate our brand. Here are the platforms we intend leveraging on to promote and advertise Seven Seas Oil & Gas, Inc.;

• Place adverts on both print (community based newspapers and magazines) and electronic media platforms
• Sponsor relevant community programs
• Leverage on the internet and social media platforms like; Instagram, Facebook , twitter, et al to promote our brand
• Install our Bill Boards on strategic locations all around major cities in the United States of America
• Engage in road show from time to time in targeted communities
• Distribute our fliers and handbills in target areas
• Position our Flexi Banners at strategic positions in the location where we intend getting customers to start patronizing our petroleum products
• Ensure that all our staff members wear our customized clothes, and all our official cars and distribution tankers are customized and well branded.

12. Our Pricing Strategy

When it comes to pricing for products such as petroleum products, there are no hard and fast rules, the prices are based on per liter or the container in which the petroleum products are placed in.

In view of that, our prices will conform to what is obtainable in the industry but will ensure that within the first 3 to 6 months our petroleum products are sold a little bit below the average prices when compared to other petroleum products production businesses in Nigeria. We have put in place business strategies that will help us run on low profits for a period of 6 months; it is a way of encouraging people to buy into our brands.

• Payment Options

The payment policy adopted by Seven Seas Oil & Gas, Inc. is all inclusive because we are quite aware that different customers prefer different payment options as it suits them but at the same time, we will ensure that we abide by the financial rules and regulation of the United States of America.

Here are the payment options that Seven Seas Oil & Gas, Inc. will make available to her clients;

• Payment via bank transfer
• Payment with cash
• Payment via online bank transfer
• Payment via check
• Payment via bank draft

In view of the above, we have chosen banking platforms that will enable our client make payment for farm produces purchase without any stress on their part. Our bank account numbers will be made available on our website and promotional materials to clients who may want to deposit cash or make online transfer for the purchase of petroleum products in wholesale.

13. Startup Expenditure (Budget)

In setting up any business, the amount or cost will depend on the approach and scale you want to undertake. If you intend to go big by renting a place, then you would need a good amount of capital as you would need to ensure that your employees are well taken care of, and that your facility is conducive enough for workers to be creative and productive.

This means that the start-up can either be low or high depending on your goals, vision and aspirations for your business.

The tools and equipment that will be used are nearly the same cost everywhere, and any difference in prices would be minimal and can be overlooked. As for the detailed cost analysis for starting a crude oil refinery business; it might differ in other countries due to the value of their money.

We know that no matter where we intend starting our crude oil refinery business, we would be required to fulfill most of the items listed below;

• The Total Fee for Registering the Business in the United States of America – $750.
• Legal expenses for obtaining licenses and permits as well as the accounting services (software, P.O.S machines and other software) – $1,300.
• Marketing promotion expenses for the grand opening of Seven Seas Oil & Gas, Inc. in the amount of $3,500 and as well as flyer printing (2,000 flyers at $0.04 per copy) for the total amount of – $3,580.
• Cost for hiring Business Consultant – $2,500.
• Insurance (general liability, workers’ compensation and property casualty) coverage at a total premium – $2,400.
• Cost for payment of rent for 12 month at $1.76 per square feet in the total amount of $550,000
• Cost for construction of a small scale but standard crude oil refinery – $2Million
• Other start-up expenses including stationery ( $500 ) and phone and utility deposits ( $2,500 ).
• Operational cost for the first 3 months (salaries of employees, payments of bills et al) – $1Million
• The cost for Start-up inventory – $250,000
• Storage hardware (bins, rack, shelves, food case) – $3,720
• Cost for store equipment (cash register, security, ventilation, signage) – $13,750
• Cost of purchase of distribution tankers – $100,000
• The cost for the purchase of furniture and gadgets (Computers, Printers, Telephone, Fax Machines, tables and chairs et al) – $4,000.
• The cost of Launching a Website – $600
• The cost for our opening party – $10,000
• Miscellaneous – $10,000

We would need an estimate of $4 million to successfully set up a small scale but standard crude oil refinery in Juneau – Alaska. Please note that this amount includes the salaries of all the staff for the first 3 month of operation.

Generating Funding / Startup Capital for Seven Seas Oil & Gas, Inc.

No matter how fantastic your business idea might be, if you don’t have the required money to finance the business, the business might not become a reality. Finance is a very important factor when it comes to starting a business such as crude oil refinery business.

No doubt raising start – up capital for a business might not come cheap, but it is a task that an entrepreneur must go through.

Seven Seas Oil & Gas, Inc. is a family business that is owned and financed by Mr. Andrew Coppersmith and his immediate family members. Although in future they plan to welcome external investors, but for now, they do not intend to welcome any external business partners that is why he has decided to restrict the sourcing of the start – up capital to 3 major sources.

These are the areas we intend generating our start – up capital;

• Generate part of the start – up capital from personal savings and sell of stocks
• Source for soft loans from family members and friends
• Apply for loan from my Bank

N.B: We have been able to generate about $1.5 million (Personal savings $1 million and soft loan from family members $500,000) and we are at the final stages of obtaining a loan facility of $2.5 million from our bank. All the papers and document have been signed and submitted, the loan has been approved and any moment from now our account will be credited with the amount.

14. Sustainability and Expansion Strategy

The future of a business lies in the numbers of loyal customers that they have the capacity and competence of the employees, their investment strategy and the business structure. If all of these factors are missing from a business (company), then it won’t be too long before the business close shop.

One of our major goals of starting Seven Seas Oil & Gas, Inc. is to build a business that will survive off its own cash flow without the need for injecting finance from external sources once the business is officially running. We know that one of the ways of gaining approval and winning customers over is to retail our petroleum a little bit cheaper than what is obtainable in the market and we are well prepared to survive on lower profit margin for a while.

Seven Seas Oil & Gas, Inc. will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare is well taken of.

Our company’s corporate culture is designed to drive our business to greater heights and training and retraining of our workforce is at the top burner. As a matter of fact, profit-sharing arrangement will be made available to all our management staff and it will be based on their performance for a period of three years or more.

We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; they will be more committed to help us build the business of our dreams.

Check List / Milestone

• Business Name Availability Check:>Completed
• Business Registration: Completed
• Opening of Corporate Bank Accounts: Completed
• Securing Point of Sales (POS) Machines: Completed
• Opening Mobile Money Accounts: Completed
• Opening Online Payment Platforms: Completed
• Application and Obtaining Tax Payer’s ID: In Progress
• Application for business license and permit: Completed
• Purchase of Insurance for the Business: Completed
• Leasing of a facility and construction of a small scale but standard crude oil refinery: In Progress
• Conducting Feasibility Studies: Completed
• Generating capital from family members: Completed
• Applications for Loan from the bank: In Progress
• Writing of Business Plan: Completed
• Drafting of Employee’s Handbook: Completed
• Drafting of Contract Documents and other relevant Legal Documents: In Progress
• Design of The Company’s Logo: Completed
• Graphic Designs and Printing of Packaging Marketing / Promotional Materials: In Progress
• Recruitment of employees: In Progress
• Purchase of the needed crude oil processing equipment, furniture, racks, shelves, computers, electronic appliances, office appliances and CCTV: In progress
• Creating Official Website for the Company: In Progress
• Creating Awareness for the business both online and around the community: In Progress
• Health and Safety and Fire Safety Arrangement (License): Secured
• Opening party / launching party planning: In Progress
• Establishing business relationship with vendors – wholesale suppliers / merchants of petroleum products: In Progress
• Purchase of delivery tanks: Completed

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Acquired Over

Petroleum Wholesale L.P.

Motor fuel distributor.

At Petroleum Wholesale, we are a leading distributor of fuel products and specialty fuel services, including fleet fueling and fleet cards, emergency fuel management, and fuel equipment services. Petroleum Wholesale offers fleet account dealers with different brands.

Retail & Properties

Petroleum Wholesale owns over 150 properties. These properties are comprised of travel centers, convenience stores and land for future development.

Personal/Travel Retail Goods & Fast Food

We offer Steak n Shake, Jimmy Johns, Dunkin' Donuts and super markets with a wide variety of personal goods, gifts and apparel.

Groceries & Other Services

Offers additional goods, services and hardware including Ace Hardware (at some locations), TruValue (at some locations), LNG/CNG fueling, truck repair, free wifi, a fenced pet area and a 175 space RV park.

PWI Loves Spreading Holiday Cheer

Here at petroleum wholesale, we love giving back to our community during the first week of december we donated 6000 blankets to local schools and the va. we were also excited to be able to donate also two pallets of toys to a local elementary school..

Testimonials

What customers say, everything about main street market is fantastic.

Eating at steak and shake is great… The shopping is out standing… Most of the staff is good… The showers are outstanding better than any truck stop around for 100 miles…everything about main street market is fantastic!

This is “my” truckstop.

This is “my” truckstop. Loved it when i was here a year ago for several weeks and loving it now. Tv’s in the showers, top notch staff day and night and the best hamburger in the world as far as I’m concerned. Something needs to transfer from this store to the new store but I cannot say enough about this one.

Rick Woodward

Needs to be more mega stops like this one.

Needs to be more mega stops like this one where a driver can go in and take care of absolutely everything

Chad McClusky

Main street market is the best place to buy your food.

Main Street Market is the best place to buy your food and fuel is the cheapest in town and the staff is always polite. Good place.

Shawn Davis

We are proud to work with these great causes:.

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• Resources for Entrepreneurs > Become an Entrepreneur > How Do I Start a Business

Starting a Petroleum Products Wholesale & Manufacturers Business

How Do I Start a Business

These tips are perfect for entrepreneurial folks who want to open a petroleum products wholesale and manufacturers business. Read this article before you begin your venture.

Thinking about opening a petroleum products wholesale and manufacturers business? We tell you what you need to know to get started.

How to Write an Effective Petroleum Products Wholesale & Manufacturers Company Business Plan

A business plan isn't just another startup formality. It's a core business document that will guide your petroleum products wholesale and manufacturers business's decisions and activities on a go-forward basis.

Accuracy and an eye for detail count when writing a business plan. Fudging the numbers is the equivalent of sabotaging your petroleum products wholesale and manufacturers business's strategic interests.

The more effort you invest in the details of your plan, the greater the payoff you will receive from your efforts. For more information about petroleum products wholesale and manufacturers company business plans, take a look at what the experts say about business plan writing .

Don't Overlook the Competition

Prior to opening a petroleum products wholesale and manufacturers business in your town, it's a smart move to determine how you will fit in the competitive landscape. Use the link below to find competitors nearby. Complete the form by entering your city, state and zip code to get a list of petroleum products wholesale and manufacturers businesses that are close by.

• Find Local Petroleum Products Wholesale & Manufacturers Business Competitors

Is the local market large enough to support another petroleum products wholesale and manufacturers business? If not, you had better be sure that you are doing things much better than the competition.

Talk to People Who Are Already in the Business

After you've evaluated your local competitors, you really ought to talk to somebody who is already in the business. If you think owners of nearby petroleum products wholesale and manufacturers businesses will give you advice, think again. Why would they want to educate a future competitor?

But, a person who owns a petroleum products wholesale and manufacturers business outside of your community may be willing to share their entrepreneurial wisdom with you, provided that you won't be directly competing with them. Indeed, many experienced entrepreneurs enjoy offering advice to startup entrepreneurs. If you are persistent, you can find a business mentor who is willing to help you out.

How do you go about finding a petroleum products wholesale and manufacturers business founder outside of your area who is willing to talk?

Simply, try our helpful link below, type in a random city/state or zipcode, and start calling.

• Get In Touch With Petroleum Products Wholesale & Manufacturers Business Owners

Guidelines for a Petroleum Products Wholesale & Manufacturers Business Acquisition

There are a lot of reasons why it may be preferable to acquire a petroleum products wholesale and manufacturers business instead of starting a new business venture.

To avoid common mistakes, it's important understand the critical factors to consider when buying a business . Right away, you'll want to make sure the business is capable of meeting your ownership expectations.

If the business is right for you, the assistance of a business broker will help all of the rest of the pieces of the process fall in place and you will be well on your way to owning a proven petroleum products wholesale and manufacturers business.

Consider Franchising

As an entrepreneur, your chances achieving your top business goals are substantially improved if you decide to franchise rather than going it alone.

Prior to starting a petroleum products wholesale and manufacturers business, you should assess whether there are good franchise opportunities available that might increase your chances of success.

The link below gives you access to our franchise directory so you can see if there's a franchise opportunity for you. You might even find something that points you in a completely different direction.

• Owning a Franchise

Other Useful Articles for Startup Entrepreneurs

These additional resources regarding starting a business may be of interest to you.

How to Find Angel Investors

Buying a Franchise

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• Trends Shaping the Future of Wholesale Fuel Distribution

Wholesale fuel distribution is a vital component of the global energy supply chain, and the industry is continually evolving in response to changing market dynamics, regulatory requirements, and technological advancements. Here are some key trends shaping the future of wholesale fuel distribution:

Table of Contents

Renewable Energy Integration:

As the world shifts towards sustainable energy sources, wholesale fuel distributors are increasingly incorporating renewable fuels such as biodiesel, ethanol, and hydrogen into their product portfolios. With growing environmental awareness and government incentives for renewable energy adoption, wholesale fuel distributors are exploring opportunities to diversify their offerings and meet evolving customer demand for cleaner energy solutions.

Digital Transformation:

The digital revolution is transforming every aspect of the wholesale fuel distribution industry, from inventory management and logistics to customer engagement and supply chain visibility. Wholesale fuel distributors are embracing digital technologies such as cloud computing, Internet of Things (IoT) sensors, and data analytics to optimize operations, improve efficiency, and enhance decision-making processes. Real-time monitoring of fuel inventories, predictive maintenance of storage facilities, and automated order processing are just a few examples of how digital transformation is revolutionizing wholesale fuel distribution.

Demand for Energy Efficiency:

With increasing emphasis on energy conservation and sustainability, there is a growing demand for energy-efficient solutions in wholesale fuel distribution. From fuel-efficient transportation vehicles to eco-friendly storage tanks and distribution facilities, wholesale fuel distributors are investing in technologies and practices that minimize energy consumption, reduce carbon emissions, and enhance overall operational sustainability.

Supply Chain Resilience:

The COVID-19 pandemic highlighted the importance of supply chain resilience and adaptability in the wholesale fuel distribution industry. Wholesale fuel distributors are reevaluating their supply chain strategies, diversifying sourcing options, and implementing contingency plans to mitigate disruptions caused by unforeseen events such as natural disasters, geopolitical tensions, and global health crises. Building resilient supply chains that can quickly respond to changing market conditions and disruptions is essential for ensuring continuity of fuel supply and maintaining customer satisfaction.

Focus on Regulatory Compliance:

Wholesale fuel distribution is subject to a complex regulatory environment that governs safety standards, environmental regulations, and fuel quality requirements. Wholesale fuel distributors must stay abreast of evolving regulatory frameworks and ensure compliance with local, state, and federal regulations to avoid penalties, reputational damage, and operational disruptions. Investing in regulatory compliance programs, employee training, and monitoring technologies is essential for maintaining regulatory compliance and upholding industry standards.

In conclusion, wholesale fuel distribution is undergoing significant transformation driven by technological innovation, sustainability imperatives, regulatory pressures, and shifting consumer preferences. By embracing these trends and proactively adapting to change, wholesale fuel distributors can position themselves for success in an increasingly competitive and dynamic market landscape.

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If you’re searching for a reputable gasoline company then you ‘re in the right spot. Premier Petroleum® is one of the largest bulk gasoline and diesel distributors. Distributors for Shell, ExxonMobil, Chevron, Texaco, Citgo and 76.

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WHOLESALE OF PETROLEUM

Modern engines depend on the quality of the gasoline for their power and technology. Bulk purchases of various oil refining products are possible through the company LLC Energokonsalt. Parking lot owners can forbid basic vehicles and realize anticipated benefits thanks to the year-round, cost-effective sale of gasoline and diesel fuel. We are a reputable wholesale supplier of gasoline, and we stand out for our patrons, petroleum product suppliers, and reliable reputation. We provide services to businesses in the transportation, processing, shipping, and aviation industries in addition to gas station and parking lot owners.

Benefits of Cooperation

Each client can purchase factory-certified GOST-compliant items through partnerships. There is no doubt about the oil products’ ability to set standards for quality; gasoline and diesel fuel are two prime examples. Due to Moscow’s and the surrounding area’s 24-hour delivery service, customers can receive their items whenever it is most convenient for them. While deciding to purchase gasoline in huge volumes, each client benefits greatly.

• the possibility of timely refueling vehicles;
• significant savings in cash;
• reduction of overhead costs;
• optimization of the transport company and its competitiveness;
• excluding the purchase of substandard fuel and engine failures;
• prolongation of equipment life;
• operational processing of the application and delivery of gasoline;
• exclusion of overpayments and mark-ups;
• loyal attitude of the supplier of petroleum products;
• compliance of fuel with the claimed octane number;
• possibility of receiving a deferred payment;
• guarantee of uninterrupted supply of gasoline.

Items that are sold adhere to laws and specifications that control the purity of fuel and standards for car exhaust emissions. When we buy gasoline in quantity from manufacturers, there are no payments paid to middlemen, thus the cost is less than average compared to other petroleum products. Emergency situations are avoided during the delivery of gasoline to the vessel thanks to cutting-edge equipment, the necessary filling control systems, and safety precautions. Our customers can submit an online request to acquire one of the business’s main refined products by indicating “I will buy gasoline in bulk” in the order form or by sending a message to the management via the contact form.

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• Rosneft (ROSN.ME)
• Gazprom Neft (SIBN.ME)
• Lukoil (LKOH.ME)
• Surgutneftegas (SNGS.ME)
• Gazprom (GAZP.ME)
• Novatek (NVTK.ME)

The Bottom Line

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• Energy Trading

The Biggest Russian Oil and Natural Gas Companies

Thomas J Catalano is a CFP and Registered Investment Adviser with the state of South Carolina, where he launched his own financial advisory firm in 2018. Thomas' experience gives him expertise in a variety of areas including investments, retirement, insurance, and financial planning.

Ariel Courage is an experienced editor, researcher, and former fact-checker. She has performed editing and fact-checking work for several leading finance publications, including The Motley Fool and Passport to Wall Street.

Oil and natural gas companies are a crucial part of Russia's economy and vital to its energy sector. The country has some of the largest multinational oil and gas companies in the world because it also has some of the largest known reserves. Russia had 80 billion barrels of proved reserves as of the latest available data from the U.S. Energy Information Administration.

Below are six of the largest Russian oil and gas companies, which together accounted for more than 80% of Russia's oil production and 78% of the country's energy production as of the latest available data for 2023.

Some of the stocks below are traded over-the-counter (OTC) in the U.S., not on exchanges, and as of July 11, 2024, are unavailable to trade in the U.S. due to sanctions imposed on Russia. Others are not available on OTC or U.S. markets. Trading OTC stocks often carries higher trading costs than trading stocks on exchanges. This can lower or even outweigh potential returns.

Key Takeaways

• Russia's economy relies heavily on its oil and gas industry, which accounts for over 78% of the country's energy production.
• Some of Russia's largest corporations are involved in oil and gas.

The largest oil and gas companies in Russia are Rosneft, Gazprom Neft, Lukoil, Surgutneftegaz, Gazprom, and Novatek.

1. Rosneft (ROSN.ME)

• Revenue (TTM): RUB 9.16 trillion
• Net Income (TTM): RUB 1.53 trillion
• Market Cap: RUB 2.89 trillion
• 1-Year Trailing Total Return: 39.13%
• 3-Month Average Volume: RUB 55.04 million

Rosneft, also a majority state-owned enterprise, is the overall leader of Russia's petroleum industry and is one of the world's largest publicly traded oil and gas companies. The company explores, extracts, and produces petroleum products and petrochemicals but is also involved in natural gas exploration and production.

2. Gazprom Neft (SIBN.ME)

• Revenue (TTM): RUB 3.52 trillion
• Net Income (TTM): RUB 637 billion
• Market Cap: RUB 3.10 trillion
• 3-Month Average Volume: RUB 16.54 million

Though a subsidiary of Gazprom, which owns nearly 96% of all common shares, Gazprom Neft remains a publicly traded company. The company was formerly known as Sibneft.

3. Lukoil (LKOH.ME)

• Revenue (TTM): RUB 7.93 trillion
• Net Income: RUB 1.15 trillion
• Market Cap: RUB 4.84 trillion
• 1-Year Trailing Total Return: 36.00%
• 3-Month Average Volume: RUB 6.4 billion

PJSC Lukoil is a Russian company that was initially government-controlled but is now one of Russia's most prominent companies not controlled by the state. Its main operations encompass the exploration and production of petroleum products and natural gas.

While it specializes in (and was founded for) exploration and production in western Siberia—where the majority of the company's oil and gas reserves are located—Lukoil is a major player in the energy industry worldwide.

4. Surgutneftegas (SNGS.ME)

• Revenue (TTM): RUB 2.25 trillion
• Net Income: RUB 1.32 trillion
• Market Cap: RUB 1.01 trillion
• 1-Year Trailing Total Return: 4.12%
• 3-Month Average Volume: RUB 1.32 trillion

Surgutneftegas is a Russian oil and gas company formed by merging several former government-owned companies. Its main interests are the exploration and production of oil and natural gas, manufacturing and marketing of petroleum products, as well as gas processing and oil refining.

5. Gazprom (GAZP.ME)

• Revenue (TTM): RUB 8.54 trillion
• Net Income (TTM): RUB -659 trillion
• 1-Year Trailing Total Return: -27.60%
• 3-Month Average Volume: RUB 696.56 million

With 12-month revenue of RUB 8.54 trillion, Gazprom is one of Russia's and the world's largest natural gas companies. It is a majority government-owned company focused on geological exploration within Russia, as well as the production, transmission, storage, processing, and marketing of natural gas and other hydrocarbons.

Gazprom has struggled since the war in Ukraine and the ensuing sanctions from major Russian oil importers began. In 2023, the company posted record losses of RUB 659 trillion.

6. Novatek (NVTK.ME)

• Revenue (TTM): RUB 1.37 trillion
• Net Income (TTM): RUB 463.03 billion
• Market Cap: RUB 3.18 trillion
• 1-Year Trailing Total Return: -24.03%
• 3-MonthAverage Volume: RUB 21.87 million

Novatek is Russia's largest independent natural gas producer and is the second-largest natural gas producer in Russia behind Gazprom. The company engages in the exploration, production, and processing of natural gas and liquid hydrocarbons.

What Is the Biggest Oil Company in Russia?

Rosneft is the biggest oil company in Russia, with RUB 9.6 trillion in revenues in 2023.

Who Is Russia's Biggest Oil Consumer?

According to the World Bank, China is the largest Russian crude oil purchaser, accounting for more than €4.5 billion in crude in May 2024.

Who Is the Largest Oil Refinery in Russia?

Rosneft, the country's largest oil producer, is also its largest refiner, accounting for 40% of its refinining capacity.

Russia is one of the largest producers of oil in the world and has proved reserves of 80 billion barrels, ranking it eighth in the world for reserves. The country also depends on its oil production for energy production, which leads to the development of large oil companies.

U.S. Energy Information Administration. " Russia ."

Reuters. " ROSN.MM ."

Moscow Exchange. " Gazprom Neft SIBN ."

Reuters. " SIBN.MM ."

Moscow Exchange. " Lukoil (LKOH) ."

Reuters. " LKOH.MM ."

Reuters. " SNGS.MM ."

Moscow Exchange. " Surgut (SNGS) ."

Reuters. " GAZP.MM ."

Moscow Exchange. " Gazprom (GAZP) ."

Moscow Exchange. " Novatek (NVTK) ."

Reuters. " NVTK.MM ."

Centre for Research on Energy and Clean Air. " May 2024 — Monthly Analysis of Russian Fossil Fuel Exports and Sanctions ."

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