ORLEN has signed a contract with bp for the supply of 6 million tonnes of crude oil from Norwegian fields in the North Sea over twelve months. This will cover about 15 per cent of the annual demand of the entire ORLEN Group for this feedstock.
The agreement is structured to provide ORLEN Group flexibility of supply, with crude oil cargoes directed to the Polish port of Gdansk and the Lithuanian port of Butinga, depending on demand. The first oil tanker as part of the contract is expected to arrive in Gdansk in September 2024.
"Working with bp, a stable and well-established player, is a key element in diversifying ORLEN Group’s feedstock portfolio. Notably, the oil we will acquire through this contract is not only of consistent quality and sourced from geographically close North Sea fields but also has properties that ensure high yields and is well-suited to the processing technologies at our refineries. This, in turn, enhances the economic efficiency of our production facilities. As part of our collaboration with bp, we will also explore other potential areas where we can work together," said Ireneusz Fafara, President of the ORLEN Management Board.
"Our agreement to supply ORLEN with Norwegian crude oil is an important step for our business in Poland. It also helps enhance energy security for Poland and the wider Central and Eastern European region. Through our trading team we are able to supply not only North Sea crudes but also access many of the other types of oil ORLEN uses. We also look forward to working with ORLEN on future opportunities to advance the energy transition," said Bogdan Kucharski, Head of Country, bp Poland.
From the fields in the North Sea, ORLEN receives oil grades such as Forties and Brent from UK, and Oseberg, Johan Sverdrup, Troll, Grane, Brent and Ekofisk from Norway. It also receives volumes of WTI, Bakken and Mars grades produced in the United States. As part of its diversification, the company also receives oil supplies from the Persian Gulf and Forcados and Bonny Light crude oil imported by the company from West Africa.
