Perfect International LTD (PIL) “Oil & Gas” Limited is a privately owned company incorporated under the Companies Act Cap. 486 of the laws of Kenya. The Company is licensed to procure and market petroleum products in the domestic Kenyan market as well as for export to the neighbouring Great Lakes region in Africa. The full range of petroleum products are marketed by the Company, these include Petrol (PMS) Refinery margin system (RMS) Dual purpose kerosene (DPK) Diesel (AGO) Industrial diesel (IDO)Jet engine fuel (A1) Fuel oil Bitumen. Perfect International Limited commenced her operations in (year) and became a signatory to the Kenya Petroleum refinery ltd Agreement in (year), and at the same time became a signatory to the KPC Transport & Storage agreement enabling it to lift products directly through the KPC system.

Company Objectives * To develop and maintain a high standard of service to the Company’s customers as well as to ensure supply and delivery of quality products while supplying value for money.To continuously improve efficiency and productivity * To generate and maintain a sustainable cash flow from the operations and post acceptable and consistent returns on investment (ROI) for the shareholders so as to achieve investor confidence. * To ensure that overheads are contained and a low cost base maintained without compromising the quality of services to the Company’s customers. * To encourage innovation and creativity by all employee’s.

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* To conduct business as a responsible corporate member of the society, abiding by the laws and regulations of the country.Human Resource and Services Perfect International Limited comprises five divisions namely; 1. Supply Planning and Operations 2. Sales and Marketing 3. Finance and Administration 4. Information Systems 5. Corporate Affairs and HR The company has a qualified, dynamic and experienced workforce that enjoys immense support from its parent company. In total, The Company presently employs (xxxx) staff members.

Perfect International limited recognizes that a crucial element towards achieving the Company’s objectives is a satisfied and highly motivated workforce.It is as a result of this that the Company is committed to maintaining a lean & flat organization structure aimed at creating an enabling environment that fosters professionalism, personal development, commitment to duty and a keen sense of responsibility amongst the entire workforce. Product Summary: The company aims supply the full range of petroleum products namely: * Premium motor spirit (Super) * Automotive gas oil (Diesel) * Illuminating Kerosene * JET A1 * Fuel Oils 180 CST and 125 CST. * Industrial diesel oils or furnace oils Bulk LPG (Liquified petroleum gas) * Bitumen (Bulk 80/100, 60/70 and drummed 80/100, Cutbacks -MC30) Product Details 1) Refined products * Premium motor spirit (PMS): Also known as Super. Premium gives greater power to the vehicle, improves mileage and reduces maintenance costs and emissions. It can be found in 2 forms: – leaded and unleaded. It is sold in bulk i. e.

in tankers only * Diesel: Also known as Automotive gas oil (AGO). It is sold in bulk * Kerosene: Illuminating kerosene (IK) /JET A1.It is sold in bulk 2) Black Oils * Bitumen: Bitumen is sold in 3 grades. These include Bitumen 80/100, 60/70 and MC130 cut back. MC130 cut back, also known as Liquid bitumen is used in road construction. Bitumen is sold in both bulk and drummed. * Fuel Oil: Found in two types: Fuel oil 180 CST and Fuel oil 125 CST. The use of fuel oil depends on altitude above sea level.

Fuel oil 125 CST is good for higher altitudes while Fuel oil 180 CST is ideal for lower altitudes. * IDO: Industrial diesel oils 3) Gases * LPG: Liquified petroleum gasSome challeges in the petroleum sector. 1. Loading Facilities For Fuel Oil And LPG Due to the heavy capital investment for independent loading facilities, the Government can assist the minors by investing in loading facilities in Mombasa, as is the case in Nakuru, Kisumu and Eldoret where KPC loading arms are open to all oil companies. This would result in an even playing field, more competition, and hence lower prices to consumers.

This is the case in Western Kenya where retail prices are lower than in Nairobi.Opening up of similar facilities for LPG would reduce the cost of supplying the same to the consumers, which would, in turn, encourage wider usage of Gas for domestic use and hence reduce environmental damage by limiting use of charcoal and firewood. This would go a long way in the preservation of our forests and water catchment areas. 2.

Kenya Railways We would propose a railway maintenance levy from the oil companies to assist in the restoration of the Railways. This would benefit our road network by reducing traffic and over loading.An improved railway system would increase trade within the East Africa region resulting in job preservation and increased government revenue. 3.

Protection Of The Environment In order to halt the chronic deforestation being experienced in the country (Kenya has only 1. 7% forest cover and a country requires a minimum of 10% to be able to sustain its environment) Dalbit would like to see duty on Kerosene drastically reduced in order to encourage its use instead of charcoal. 4. Kenya Pipeline CorporationIssuance of stock certificates for line fill would free up capital, which is currently ‘dead stock’. The issuance of these certificates would not cost the government money and would therefore not pose any financial constraint to the exchequer. Retail Outlets Although Dalbit has no immediate plans to venture into the retail business, we feel that the Government would facilitate healthy and fair retail competition by standardizing health, Safety and environmental standards through legislation. Competition at the retail level will benefit the consumers with the resultant price reductions.This has been the case in Western Kenya where due to a large retail competition presence enabled by the available KPC loading facilities, the retail prices of petroleum products are much lower than in Nairobi and Mombasa.

Petroleum industry The petroleum industry is involved in the global processes of exploration, extraction, refining, transporting (often by pipeline or oil tankers) and marketing petroleum products. The largest volume products of the industry are fuel oil and petrol. Petroleum is also the raw material for many chemical products including pharmaceuticals, solvents, fertilizers, pesticides and plastics.The industry is usually divided into three major components upstream midstream and downstream.

Midstream operations are usually included in the downstream category. Petroleum is vital to many industries, and is of importance to the maintenance of industrialized civilisation by itself, and thus is critical concern to many nations. Oil accounts for a large percentage of the world’s energy consumption, ranging from a low of 32% for Europe and Asia, up to a high of 53% for the Middle east. Other geographic regions’ consumption patterns are as follows: South and Central america (44%), Africa (41%), and North america(40%).The world at large consumes 30 billion barrels (4.

8 km? ) of oil per year, and the top oil consumers largely consist of developed nations. In fact, 24% of the oil consumed in 2004 went to the United states alone though by 2007 this had dropped to 21% of world oil consumed. The companies main agenda is to expand in sale as well as groth both locally and regionally.

The market is vast, the demand is un supliable, depending on the target market and the approach that the company will use, this in most cases will determine the growwth rate of the company as there are several markets that can be approached.The various type of markets include petrol stations, farms, corprate institutions. Petrol stations – This is the place where petroleum products, lubricants for motor vehicles are sold. Depending on our price and efficiency this will dictate how fast or slow we grow. The target market in this department is mostly individual petrol stations, this is due to the fact that all trademark petrol stations do not buy outside their trademark source. Corprate institutions – We are looking at institutions that use diesel powered generaters in massive quantities such as East African Portland Cement (EAPC), Bata company.

This department is such a hige clientel base due to the fact that some of these companies consume large quantities of diese namely (industrial diesel) and if we would get them to purchase from us on a cotractual basis it would be a hige step towards the companies growth. Farms – We are looking at farms with big outputs. Most of these farms consume alot of diesel both industrial diesel for the farm equipments such as trucks, tracktors and cars and farm machines such as generators and many more.

Margine In the industry the margine that you have with you will dectate alot.The smaller the margine the tighter things get for the company, the biger the margine the better you operate. This is due to the fact that, Price dictates sales the lowest price in the market will always have more clients purchasing their comodity compared to those with higher prices. Having a higher margine also ensures that one is able to deduct once price without going at a loss at the same time ensuring that they are able to facilitate all the commissions that are part of any transaction easily and more effectively.

Commisions In the petroleum industry we have middle men.Their work is to source for orders from un known clients and make sure that their clients get their comodities at the most convenient price and on time. How ever in order for them to give you the order, they must be ensured of their commission in accordance to your agreement and this must be paid on time. In most cases commissions are paid imediately the client starts off loading his comodity. At worst one should be paid with in 24hrs after payments are made. Any delays will have the middle men pull out and source their clients comodity from other supliers.

Commissions are given depending on the buyers efficiency and quantity.I propose that the company creates a lader that stipulates the commission that a middle man will get depending on the quantities purchased at a single order of payment. Employenment Structure/ Payment plan The companies employment structure will be created before work comences. Payment for employees will have to be agreed on first before being put into writen agreement. Every employee will be on a performance contract so as to enhance efficiency with in the company. Chain of Command There will be various departments that will be runing the company oil & gas branch.

We shal be three staff members for startus and grow in staff as the company grows. This is the proposed structure. Director – Hon Daniel Tanui Chief Executive Oficer (CEO) – Hassan Ali Procurement Manager – Khalif Saimon Gethaiga Information Technology Oficer (ITO) – Joseph Kamau Kamere ([email protected] com) Human Resource Manager – Director – The director owns Perfect International LTD.

He is the overall boss and his word is secondary to none. He is the final desition maker. Chief Executive offiser (CEO) – The CEO is in charge of the Oil & Gas branch of Perfect International LTD and is anserable to the director.The task of the CEO is to ensure that the company is operating at effeciency and at the same time ensure its growth both financialy and market wise. Bellow the CEO there will the the department managers which run the following departments Procurement – This department under the Procurement Manager will deall with all goods and services of all our clients. The procurement department will ensure that all our clients get their comodity at the most convenient time with the most convenient method. Human Resource – The HR department ander the H.

R Manager will be dealing with all office requirenment and agendas.Anything that relates to the office will be the task of the HR manager. This includes all board meetings, conferences and appointments. Information & Tachnology – The I.

T department under the Information & Technology Officer (ITO) will ensure that all available modes of communication especialy internet are up and runing to maximum efficiency so as to have a faster and very reliable company communication network. This will ensure that all orders are well taken care of as “Communication is the key to good success. ” As the company grows so does the staff for porposes of efficiency.


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