The Swiss oil company has completed the takeover of the assets of Exxon Mobil in Belize, Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua and Panama.
The Exxon Mobil assets to be transferred to Puma Energy include 300 service stations, two refineries, the addition of three terminals, two airports and a marine bunker fuel supply which supplies 20% of the regional market, all of which involves managing a 20 million barrels of oil per year.
There are eight importers who supply more than 1,250 service stations; companies compete to attract customers with better services.
The purchase of Shell’s operations by Unopetrol, and Esso’s by Puma Energy, has spurred competition and is transforming the fuel sales market, with the opening of new retail outlets and additional service offers, such as car washing.
The Venezuelan company plans to open eight new gas stations in the country this year.
The vice president of this joint venture, Luz Estrella Rodríguez, made the announcement, adding that they are venturing into the propane gas market with a greater supply.
As part of its marketing strategy, the company initially, offered lower prices than its competitors, but has gradually aligned its prices with the market.
The transnational has completed its purchase of Chevron gas stations, which operate under the Texaco brand name.
The transaction is worth over $30 million, said Cairo Amador, Executive Director at the National Institute for the Promotion of Competition, Procompetencia.
El Nuevo Diario consulted the director who said: "The transaction (the purchase of Texaco) was just completed last week, but I understand that is the first part because there is still a review period, which involves looking at all the terms and conditions imposed on that transaction. "
The Superintendency for Competition in El Salvador has agreed to hear a resubmitted economic concentration application by Puma Energy.
A press release from the Superintendency for Competition (SC) states:
The Board (CD in Spanish) of the SC is considering a new economic concentration application by Puma Energy for the acquisition of shares in Esso Standard Oil’s El Salvador Subsidiary, Servicios Santa Elena and part of the Acajutla Petroleum Refinery.
The Superintendency of Competition in El Salvador has declared an application for economic concentration between PUMA and ESSO inadmissible, on the grounds of failure to submit complete information.
A press release from the Superintendency of Competition (SC) reads:
This inadmissibility does not mean that the merger request has been denied, but if they wish to merge, the companies must begin the process again.
The company will invest in remodeling and building gas stations as well as improving their storage facilities.
Carlos Reyes, manager of the company, said the investment is projected for the next ten years.
"The response from Reyes arose as a consequence of comments made by a spokesman of a retail fuel distributors association which said Tuesday that Texaco and Esso were selling their shares in order to leave Central America due to increased market share by Albapetróleos and China´s intention of building a refinery in Costa Rica to serve the entire region," writes Daniel Choto in Elsalvador.com.
The purchase of Shell's Salvadoran operations by Honduras' Grupo Terra could become official in March.
Representatives from the Salvadoran fuel distribution industry explained that the only step remaining is the approval of the Competence Superintendence (SC). This entity has until March 9 to comply.
"Since December 2009, the SC has been reviewing documentation provided by Shell and Grupo Terra.
In Guatemala, Shell gas stations and Pizza Hut benefit from an informal alliance.
Pizza Hut has installed three small stores in Shell gas stations. The pizza chain benefits from the large number of visitors to the gas stations, where clients order pizza to be deliverer to their homes or to take it with them. On the other side, Shell benefits from an increased number of visitors, plus improving the perception of security of its establishments.
The Honduran company won the competition for Shell's distribution network in Guatemala, Nicaragua and Honduras.
The sale was confirmed by Fabricio Pereira, Manager at Shell Costa Rica, to Elfinancierocr.com.
Pereira explained that "the agreement includes operation, marketing and sales in those countries, including Shell's strategic alliances. This deal also includes a clause to maintain the Shell brand in these countries".
Gas station chain Petrotica plans to open 6 additional locations in one year.
Petrotica recently inaugurated its first two gas stations, located in "San Sebastián" and "Paseo de los Estudiantes". Its first 8 stations will be owned by the company, while the future ones could be operated as franchises.
"We want to differentiate in the market through better service and a good image", explained Stellio Bertosi, "partner of new gas station chain Petrotica, which expects to become the first franchise of its kind in the medium term".
Nicaraguan Petrol Distributor (DNP), a network of 50 gas stations in the country, was acquired for an undisclosed amount.
The purchase was done by a holding company related to the family of President Ortega. Its previous owner was Swiss company Glencore, and its assets include storage tanks in Puerto de Corino, capable of 60.000 barrels.
"The purchase was done by 'Caja Rural Nacional' (Alba Caruna), a 'Sandinista' cooperative which functions as a semi-public bank for Ortega's Government. It has also funded some of the main acquisitions by Grupo Alba, as is the case of the Seminole operation purchase".