Germans consider participation in refinery privatizations

German lubricants producer Fuchs Petrolub announced it is contemplating taking part in the privatization of Poland's small oil refineries in an effort to bolster its presence on the rapidly growing local market. The government is looking to unload by 2003 majority stakes to strategic investors in the southern-based refineries Glimar, Jaslo and Czechowice. The three refineries are now moving into production of lubricants and oil-based goods and together processed some 875,000 tonnes of crude last year, capturing roughly 5% of the domestic refining market. Tomasz Jagla, chief of Fuchs Petrolub's Polish unit said: "We are interested in these parts of the refiners and spun-off companies that produce lubricating oils." He added that his German parent has plans to double its current local lubricants market share to about 6% over the next two years from the present 3.5%. The company's 2001 sales attributed to its Polish unit are expected to reach zl.46 million-zl.48 million from last year's zl.43.6 million. Its net profit is anticipated to jump nearly 70% to zl.2.4 million from zl.1.4 million last year. (Reuters)