Azerbaijan's state oil company, SOCAR, to assume control over Italian oil refiner Italiana Petroli
In a significant move for the oil industry, Azerbaijan's state oil company, SOCAR, has reportedly purchased Italiana Petroli (IP), one of Italy's largest petrol station networks. The financial terms of the agreement between SOCAR and IP were not disclosed.
IP, a company that owns key storage and transport infrastructure across Italy, including facilities for jet fuel, currently operates a refining capacity of approximately 200,000 barrels per day. The company's network consists of more than 4,500 fuel stations.
The news was first reported by Reuters on Monday. IP also has a tolling contract for the Alma refinery in Ravenna, and currently owns two refineries in Italy - one in the eastern city of Ancona and the SARPOM refinery to the north.
The acquisition of IP by SOCAR is expected to further strengthen the ties between Azerbaijan and Italy. Azerbaijani President Ilham Aliyev emphasized the importance of Azerbaijani-Italian relations, noting during a meeting that oil and gas was 'an important area of our cooperation'.
In recent years, trade between the two countries has been on the rise. Azerbaijan exported approximately 9.2 million tons of crude oil to Italy from January to August 2022, with a total value of $4.8 billion. This figure increased to nearly $10.8 billion in 2024, making Azerbaijan Italy's main trading partner. Trade between Italy and Azerbaijan had doubled in five years, as noted by Barbara Cimmino, the Vice President for Export and Investment Promotion at the General Confederation of Italian Industry (Confindustria).
In 2024, IP reported an adjusted core profit of nearly €500 million ($590 million). The growth of energy imports was largely responsible for this growth, as Italy became Azerbaijan's main trading partner.
Looking ahead, the acquisition of IP by SOCAR is expected to bring further benefits to both countries. As the oil industry continues to evolve, this development is a sign of things to come.
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