- Country: Belgium
- Industry: Energy, Natural Resources, Mining
- Stage: Start-up
- Investment size: $1,500,000 / min. $500,000
- ROI: 55% in 5 years
- Type of investment: Debt, Equity
Energy products global trading direct from suppliers/refineries to licenced importers in various countries. Mainly Gasoil, Gasoline, LNG and LPG (crude). Renewables.
Direct trading of refined products: ago gasoil, diesel, gasoline, jet fuel, marine/bunkering fuel, sometimes LPG & LNG, occasionally crude.
Green / Renewables:
Biofuels, turn-key solar power plants, hydrogen (the new natural gas) and lithium for electric vehicles...
West African Region, e.g. Nigeria (massive importer), Ghana and their neighbours; South Africa; Asian markets; Green/Renewables specifically aimed at EU & UK.
Modus Operandi: similar to the major traders, a/o. Glencore, Trafigura, Gunvor etc. 20 years experience as an executive in a large EU Independent Oil Company, possessing the know-how and comprehensive network, coupled with a Team of pro sales marketers in target markets. Was in charge of crude purchasing contracts with NNPC etc.
Major Supplier available, with own refineries, exploitation agreements, vessel tanker line, hedging & risk management, a guarantee of deliveries, if need be trade finance as well, worldwide offices and private jets.
NOTE> we envisage a JOINT VENTURE 50/50 with said Global Energy Group (Supplier, see above).
Under a new LLC. This greatly enhances credibility and performance, as the Group is bringing in all their facilities !
In due time, extra recruitment/headhunt of experienced in-house traders, trading their own book.
With room for scalable growth and expansion into a more fully integrated energy company, i.e. own vessels, storage, possibly modular refinery (10/15K bbls/day capacity) or partake in refinery etc.
The bottomline is to initially create a niche market in international energy, renewables, oil and gas trading with a better service, integrity and flexibility (lean and mean) with competitive pricing. A dynamic and efficient supplier/trader continuously delivering exceptional performance. Leaving room for quick scalable growth.
Adding Bio Fuels and full turn-key Solar Power Station solutions, plus Hydrogen shipments as part of the overall Energy Project as well.
As compared to the main big traders (Litasco, Glencore, Trafigura, Vitol, etc) same basic structure, but lean, avoiding any unnecessary excess, resulting in fewer overheads.
Hence being able to offer very attractive pricing (direct from source) while maintaining a correct service & integrity.
Rationale for the deal
Coupled with a competitive advantage, the above-emerging markets present a huge opportunity; Nigeria is a massive importer and Ghana according to its smaller population as well, likewise, Asia too is a massive market importing huge volumes of refined products.
Hence there's room for a competent niche player, also with, after initial positioning, room for growth.
These markets are the playing grounds of many a major trader, so the opportunity is a given fact.
Contacts with established buyers/importers exist (large independents & local majors), avg shipments of 20/30,000MT per product.
Indeed, large commodities trading houses have produced a market dominated by corporate giants focusing on high volume transactions, leaving new niches and specific customer needs untapped.
The promoter has over 20 years of experience in these markets with a large EU independence which enjoyed several official crude contracts with a refinery processing agreement.
Plus, the increasingly growing green/renewable energy markets offering massive extra opportunities, especially when getting in at the ground floor.
Indeed, Hydrogen is about to become a new major clean energy provider, not only for vehicles but also for the Petrochemical Industries. F.e. said industry at the Antwerp region alone, will require millions of tons of Hydrogen per annum.
Add as well: Bio Fuels and solar energy, custom-tailored.
We do have direct access to all this in terms of guaranteed supply & shipments at very competitive pricing.
Use of financing
Establish the corporate structures (Holding & Head Office and office infrastructure and all related thereto etc.
Experienced staff recruitment with the supervision of a very competent experienced ex-pat (known head-hunter). Several pro sales marketers, COO, CFO are already known.
Set up representative offices in target markets (local reps are available but can be upgraded).
Marketing & travels. Work capital, reserve, contingencies.
Opportunity for the investor
We are looking for serious investor(s) be it silent investor(s) or even one that may bring added value.
Depending on the investment amount an equity proposal can be negotiated with an attractive package, possible with a buy-out after 5 years. Because of the relatively small investment, which is due to having a solid supplier base, initially taking several cost-intensive issues out of our hands, the ROI is quite high, due to the rather high volumes. Can be quite higher than the 55% minimum stated above. All in accordance with investment amount vs equity etc negotiated. Personal elaboration.
Due to confidentiality, more details & financial projections can be provided to serious investors. Surely a high reward package can be given or possibly a hybrid package of equity/debt with buy-out might be envisaged. It all depends on the amount and type of investor.
NOTE: a savvy smart investor should grasp when the time is right to invest in the real economy/business. Mind, all indicates an upcoming 'financial crunch'! Much worse than the last one of 2008/9 ........ as well as in US, Europe etc.
Banks are buying gold again (even secretly) what should tell the wise what's up .... the banker's tricks of QE & near-zero (even negative) interest rates are about to wear out.
The futures markets are mainly in Asia, and Africa by extension. Renewables aimed at the West.
Looking for similar investment opportunities