Oil Refineries Ltd. (TASE:ORL) CEO Yashar Ben Mordechai today notified the board of directors that he is resigning after 11 years in the post. The resignation will take effect when the board appoints his successor and after an overlap period. He agreed to the board's request that he continue to be responsible for the company's large projects and to help develop new business over a two-year period.
Ben-Mordechai said that the elements of Oil Refineries' strategic plan, embarked on in late 2007, were in the advanced implementation stage. These projects include the consolidation of all fuel, polymers, aromatics, and oil production activities, and the switch to natural gas for production.
Oil Refineries' consolidated net profit fell 77% to $77 million in 2010 from $349 million in 2009. Fourth quarter consolidated net profit fell 84% to $24 million from $182 million for the corresponding quarter. The company attributed the drop in net profit to the volatility in the price of oil during 2010.
The adjusted refining margin was $3.20 per barrel in 2010 compared with the regional benchmark average Mediterranean Ural cracking margin rose to $2.90. The adjusted refining margin was $4.90 per barrel in 2009 compared with the regional benchmark average Mediterranean Ural cracking margin of $1.90. The reported refining margin fell to $2.90 per barrel in 2010 from $5.70 in 2009.
The fourth quarter refining margin was $3.60 per barrel, compared with regional benchmark average Mediterranean Ural cracking margin of $2.80 per barrel.
Israel Corporation (TASE: ILCO) owns 37.08% of Oil Refineries and Israel Petrochemical Enterprises Ltd. (TASE:PTCH) owns 30.72%. Oil Refineries' share price rose 1% by mid-afternoon to NIS 2.43, giving a market cap of NIS 5.86 billion.
Published by Globes [online], Israel business news - www.globes-online.com - on March 21, 2011
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