The Supply, Trading and Optimisation division is Engen's driver of corporate general interest economics. S.T.O aims to deliver services acknowledged by its key interfaces as adding value to the achievement of their objectives; world-class optimisation of the supply/value chain on behalf of the key line units; the lowest total cost supply chain in its downstream markets; and seamless integration of the management of Engen’s inbound and outbound supply chain processes in order to meet agreed customer requirements.
Commercial Trading department is responsible for trading in refined products but mostly bulk products (i.e. diesel, petrol, fuel oil). Main areas of responsibility are: trading to balance the system (local, affiliate supply, marine fuels), third party trading, risk management (hedging aspects), joint bunkering services management, commercial services/support to refinery, commercial support to STO's departments (supply agreements etc), oil market analysis and information provision.
STO Financial Services
STO Financial Services (and business controls) is responsible for supply and commercial accounting, including hedge and profitability reporting and monitoring. Areas of responsibility include: Exchange (accommodation) accounting; Mossgas reconciliation; Sasol reconciliation; Risk management reporting and monitoring; trading and shipping accounting (import/export, EPIL consolidation, voyage manager control, landing/wharfage, port costs, PSL); credit control (BEE, supply and marine fuel); business planning and analysis; Profit forecasting; profit reporting; business indicators development projects.
Main responisbilities of Engen’s shipping department include: the management of ship ownership (joint venture); ship chartering; third party shipping ; industry shipping contract management; loss control (demurrage and insurance); Single Buoy Mooring (SBM); and crude commercial exchanges and management.
Supply and Optimisation
Optimisation - general interest economics, management of transfer pricing, short term manufacturing planning process co-ordination, local supply and demand optimisation, supply chain ownership (crude inbound/bulk fuels outbound), transhipping process ownership, economic analysis/support for short-term product sales/purchases, product exchanges, term deals, third party processing deals, supply chain best practice tracking, e-business for Logistics.
Supply - bulk fuels supply chain inventory management (RSA & BLSN) and replenishment planning, purchases contract management (Sasol, Mossgas), supply sales contract management (Afrox, Exel, Afric Oil), industry product exchange contract management, industry liaison on supply issues, working capital management (accommodation, TAR and inventory).