Grupa Lotos oil giant sets six year target to treble production

Grupa Lotos (GL), the country's second biggest oil producer, is preparing a massive expansion plan which will run until 2010. Over the next six years, the concern wants to treble oil processing from 300 000 tones to 1 million tones. The company also wants to increase its share of the wholesale oil market from 22% to 30%, and from 5% to 12% in the retail market. Implementing the plans will require gigantic investment. The refinery will provide zł.1.1 - 1.2 billion and Lotos representatives have disclosed that they are hoping to raise another zł.700 million from a new share issue. The company has no plans to compete with the country's biggest oil concern PKN Orlen. Lotos president, Paweł Olechnowicz, said, "I do not know if Lotos will conquer the market at the expense of Orlen. We rather want to cooperate with them." (Puls Biznesu, p. 6) A.F