Refining & Marketing
Purvin & Gertz, Inc. combines its unique technical expertise, ongoing market analysis and economic knowledge of the petroleum, natural gas and gas liquids businesses and to effectively assist clients with issues involving the refining and marketing sector. We provide a wide range of experienced-based assistance to our clients in all aspects of the refining industry including the optimization of on-going refining operations, the assessment of crude oil supply opportunities and economics, the evaluation of refined product markets, technology options and the strategies and economics of refinery expansion projects or the assessment of the value of existing refining assets. Our proven methodologies, technical tools, databases and experience give our clients the edge in the intensely competitive refining industry.
Technical and Commercial Knowledge and Analytical Tools
Our consultants are primarily chemical engineers with extensive experience in the strategic, technical, commercial and economic aspects of the global petroleum refining business. We maintain tools and databases to effectively provide estimates for capital investment or operating costs related to refining process equipment and technologies. Through either our proprietary linear program (LP) modeling system or as a licensed user of PIMS(TM), we offer our clients the ability to optimize plant performance, develop projects or aid in strategic planning. We also provide our clients with advanced PIMS(TM) LP modeling solutions such as developing, modernizing or benchmarking client-specific LP models or modeling systems.
Proprietary Services to the Refining Industry
Through our 60-year history in the downstream petroleum consulting business our firm has developed the global commercial and technical knowledge and experience to provide a wide range of third party services to the refining industry. Some examples of the proprietary services we offer include:
Asset Valuations
We are frequently retained by a broad range of clients including refiners, financial institutions, insurance industry clients and others to develop independent valuations of existing refining and petrochemical assets. These valuations are instrumental to our clients in making asset purchase or sales decisions; establishing book or insurance values; or in determining the fair market value for legal or tax purposes. We employee industry-accepted methodologies to value facilities that can be based on discounted cash flow analysis, depreciated replacement cost or comparable sales.
Project Development Assistance
Many companies have retained us to provide commercial and technical assistance to assist in their investment decision-making process. We have developed rigorous and effective approaches to project development that can be tailored to suit individual client's needs. We provide the technical knowledge and experience to select the optimal feedstocks, processing schemes, and technologies for market-based, successful project development. We have the ability to provide in-depth economic models of the project in a manner acceptable to potential financial institutions. Our economic models, along with the market analysis and technical experience allow us to formally quantify project risks and develop risk mitigation strategies.
Market Analysis
A cornerstone of Purvin & Gertz' consulting practice is our ongoing short-term and long-term market analysis products and services that are used by hundreds of clients worldwide. The combination of our global network of offices in all major petroleum markets staffed by industry-experienced consultants from each region and our continuous global market analysis enable us to have first-hand, detailed knowledge of international petroleum markets. We maintain models to forecast crude oil and refined product prices in all the major international refining centers consistent with our supply/demand analysis. This worldwide analysis assures consistent relationships between geographical regions and among commodities. Over our 60-year history, we have developed close working relationships with key industry clients throughout the world and perform hundreds of assignments that routinely test our forecasts of supply, demand and trade in crude oils, condensates and other refinery feedstocks as well as refined products and petrochemical feedstocks.
Merger & Acquisition Assistance
Our consultants help buyers and sellers in mergers, acquisitions and divestitures of refining facilities. Through our comprehensive knowledge of the refining industry, we are able to the ongoing businesses of specific facilities for buyers or sellers on the basis of competitive position, technical capability, feedstock processing capability, product market position, expected earnings and potential risks. We are often retained by financial institutions involved in the acquisition process by providing a clear understanding of technical, commercial and economic aspects of the transaction. We provide services related to cash flow valuations, market analysis and assist clients in their due diligence activities in transactions of all types and locations.
