Morocco’s sole oil refiner, Samir, issued a profit warning saying that its 2015 results are expected to show a widening loss after production was halted last year and its bank accounts were frozen, Reuters reported.
Samir, which is controlled by Saudi Corral Petroleum Holdings owned by a Saudi businessman, Mohammed Al Amoudi, announced in August 2015 that it was halting production at the 200,000b/d Mohammedia refinery. Morocco’s tax administration then seized the company’s bank accounts in pursuit of a $1.35b tax claim. Last October, Samir informed that it won the backing of its extraordinary general assembly for a capital increase of $1.04b in an effort to end company’s financial difficulties.
Currently, Samir is seeking an out-of-court settlement with creditors, the company said, adding that it is still paying salaries and social contributions, Zawya reported. The court ruling is expected by end March.
In 2014, the refinery posted a record net loss of $349m, mainly due to inventory revaluation after oil prices fell.