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Annual Report 2015

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Annual Report 2015 His Highness Sheikh His Highness Sheikh Sabah Al-Ahmad Al-Jaber Al-Sabah Nawaf Al-Ahmad Al-Jaber Al-Sabah The Amir of the State of Kuwait Crown Prince of the State of Kuwait (Humanitarian Leader) 2 CONTENTS PAGE Board of Directors 4 Executive Management 5 Report Of The Board Of Directors 6 Achievements 2015 10 Social Responsibility 12 Consolidated Financial Statements 13 3 Board of Directors Executive Management Eng. Adel Mohammed Al-Awadi CEO Mohammad Eqab Al-Khateeb Board Consultant For HR & Admin Sheikh / Talal Al-Khaled Al-Ahmad Al-Sabah Eng. Abdulhussain S. Al-Sultan Deputy Chairman Chairman Tareq Al-Ajlan Operations Manager Eng. Muhammed A. Al-Ebrahim HSEQ Manager Sanjay B. Tari Finance Manager Mohammad Al-Khareji Saleh K. Al-Temimi Mohammad E. Al-Khateeb Dr. Mahdi M. Haidar Eng. Jamal A. Jaafar Support Services Manager Board Member Board Member Board Member Board Member Eng. Ashrf Ali Project Manager Ali A. Al-Baghli Dr. Ali H. Abdullah Fadel M. Al-Saraf Board Member Board Member Board Member 4 Executive Management Eng. Adel Mohammed Al-Awadi CEO Mohammad Eqab Al-Khateeb Board Consultant For HR & Admin Tareq Al-Ajlan Operations Manager Eng. Muhammed A. Al-Ebrahim HSEQ Manager Sanjay B. Tari Finance Manager Mohammad Al-Khareji Support Services Manager Eng. Ashrf Ali Project Manager 5 We continue to pursue our approach aimed at the application of environmental safety Board Report requirementsWe continue and quality to controlpursue at ourpetrol approach stations andaimed the Headat the Office. application We are keenof environmental on expanding safety the userequirements of solar energy and and quality providing control intensified at petrol stationstraining andprogrammes the Head Office.on the Weprinciples are keen of safetyon expanding and environmentalthe use of solar programmes, energy and first providing aid, let alone intensified the field training inspection programmes visits conducted on the principles by the key of safety Dear Shareholders, managementand environmental staff to ensure programmes, the application first aid,of the let aloneenvironmental the field inspection safety conditions visits conducted and quality by the key control managementin the stations. staff to ensure the application of the environmental safety conditions and quality On my behalf and on behalf of my fellow board members, control in the stations. I am pleased to welcome you to the 11th General Assembly meeting of Oula Fuel Marketing Company in which we will Challenges in 2015 In 2015Challenges the Company encountered in 2015 a range of challenges, most notably in terms of investments. discuss the company's Financial Statements and Financial We sufferedIn 2015 from the red Company tape in theencountered issuance ofa rangelicences of becausechallenges, of the most very notably slow officialin terms paperwork of investments. Report for the period that ended on December 31, 2015. cycle, whichWe suffered is one of from the mainred tape obstacles in the facingissuance the of performance licences because in general of the terms. very Gettingslow official a single paperwork licence cycle,for a facility which mayis one take of thean entiremain obstaclesyear! Of course, facing thisthe performanceaffects our investments in general andterms. hinders Getting our a single expansionlicence strategy. for a Anotherfacility may challenge take an is entire the sale year! of Ofdiesel course, at two this prices. affects That our causedinvestments our company and hinders our Eng. Abdulhussain S. Al-Sultan a loss ofexpansion KD 855,000 strategy. in 2015. Another Subsidies challenge were is no the longer sale ofgiven diesel to atdiesel two prices.and kerosene That caused producers. our company Chairman That madea loss the of CompanyKD 855,000 lose in a2015. lot of Subsidies customers, were especially no longer we given have to to diesel sell at and two kerosene prices. This producers. Development of Stations in 2015: poses Thata real made problem the Company and opens lose thea lot door of customers, for black especiallymarket and we havemanipulation to sell at oftwo diesel prices. This EstablishedDevelopment ten years ago, thisof companyStations has in been 2015: keen on raising the efficiency of its services prices.Kindlyposes bea notedreal problemthat we are and still opens waiting the for reconsiderationdoor for black ofmarket the decision and manipulationof the Municipal of diesel and applyingEstablished its strategy ten years that ago,aims this to raisecompany its productivity has been keenand profitability.on raising the A rangeefficiency of stations of its services Councilprices.Kindly regarding the be classification noted that we of are stations still waiting in order for reconsiderationto expand our ofbusiness the decision investment of the Municipalin was re-openedand applying after its being strategy fully that developed aims to raisein 2015. its productivityThis is part and of profitability.the Company's A range plan of to stations stationsCouncil so as to regarding increase thethe numberclassification of permitted of stations activities in order in stations. to expand our business investment in developwas all itsre-opened facilities. afterThat beingplan was fully launched developed two in years 2015. ago. This Two is stationspart of thein Khalidiya Company's and plan to stations so as to increase the number of permitted activities in stations. Bayan havedevelop been all fully its facilities.developed. That plan was launched two years ago. Two stations in Khalidiya and In 2015 we encountered many challenges which we hope to overcome in 2016 so that our Four newBayan automatic have been car fully wash developed. facilities were opened (in accordance with the highest CompanyIn 2015can maintainwe encountered its pioneering many positionchallenges in whichwhich wewe andhope you to takeovercome pride. inPlease, 2016 sorest that our internationalFour newstandards) automatic in Mubarak car wash Al-Kabeer, facilities Al-Maseelah, were opened Bayan, (in andaccordance Khalidiya. withMoreover, the highest assuredCompany that we canare maintaincontinuing its ourpioneering expansion position and in the which development we and you of takeour pride.stations Please, in rest Qurtubainternational car wash facility standards) was fully in renovated.Mubarak Al-Kabeer, Al-Maseelah, Bayan, and Khalidiya. Moreover, accordanceassured with thatthe internationalwe are continuing quality standardsour expansion so that weand can the meet development your expectations. of our stations in Qurtuba car wash facility was fully renovated. accordance with the international quality standards so that we can meet your expectations. Other Services and Environmental Safety: Future Strategy: The CompanyOther still Services pursues its andplan to Environmental expand its services. Safety:Mini-market centres and car service The CompanyFuture strategically Strategy: tends to make value-added contributions to its assets by maximizing facilitiesThe were Company introduced still in pursues four stations. its plan Moreover, to expand we itscontinued services. our Mini-market strategy which centres is based and car on service the developmentThe Company of the strategically value of such tends assets to makeand the value-added rights of Shareholders contributions thereto. to its assetsThe Company by maximizing changingfacilities the pricing were of introduced investment in areas four stations. (both new Moreover, and those we with continued expired contracts).our strategy That which resulted is based on is keenthe on developmentfollowing the of highestthe value standards of such assets of safety and theand rights quality of Shareholderscontrol. That's thereto. why weThe will Company in directchanging benefits andthe pricingyielded of higher investment profits areas for the (both Company. new and those with expired contracts). That resulted continueis tokeen invest on in following infrastructure the highest in line withstandards the application of safety of and modernization quality control. and developmentThat's why we will Anxiousin to direct provide benefits and anddevelop yielded outstanding higher profits services for the to Company. its customers, the Company signed a of the stationscontinue plan.to invest Therefore, in infrastructure these investments in line with thewill applicationbe transferred of modernization using the Company's and development cooperationAnxious agreement to provide with and one develop of the outstandingelectronic payment services networksto its customers, to enable the customers Company tosigned a funds. Inof addition,the stations available plan. financialTherefore, instruments these investments will be used. will This be transferredmatter will beusing presented the Company's to rechargecooperation their Oula agreementCards using with devices one scatteredof the electronic throughout payment Kuwait networks (in cooperative to enable societies, customers to you in accordancefunds. In addition, with the available requirements financial of the instruments activities. will be used. This matter will be presented to groceriesrecharge and phone their shops). Oula Cards using devices scattered throughout Kuwait (in cooperative societies, you in accordance with the requirements of the activities. The Companygroceries also and hasphone a fast,shops). safe and user-friendly smart phone application. It provides Therefore, we are keen to meet all the requirements of the Company's corporate governance as customersThe with Company convenience also andhas comfort.a fast, safeThanks and to thisuser-friendly
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