Portugal: Galp suspends purchases of Russian originated products
The company condemned Russia's actions following the invasion of Ukraine in a public statement in which it confirmed that it will stop buying oil products from the country.
Galp joined the recent statements and actions of oil companies in condemning the Russian aggression against the Ukrainian people. Galp's Board of Directors decided to suspend any new purchases of oil products from Russia or Russian companies.
"This terrible act of aggression by Russia against Ukraine absolutely violates the values that Galp defends, such as freedom and human rights. In such a complex and terrible context, our decision is simple: Galp will not contribute to financing the war," commented Paula Amorim, Galp's President.
Although Galp does not participate in joint ventures with any Russian companies, it is in the process of eliminating direct or indirect exposure to oil products from Russia or Russian companies in existing contracts. While this measure may affect the Sines refinery and its financial performance, Galp will continue to guarantee the supply of gas and fuel to the Portuguese market.
"Russia's massive invasion against Ukraine is a great blow to the free world. Our solidarity goes out to the Ukrainian people, who are suffering from this aggression. We are exploring possible ways to support collective humanitarian efforts," added Andy Brown, CEO of Galp.
As confirmed by the company in its press release, Galp acquires gas oil obtained in vacuum (VGO) through fixed-term contracts with delivery in Sines that do not specify (or discriminate) the origin of the product. Russia accounts for half of the world's production of this product, which is one of the raw materials used to produce gas oil at the Sines refinery. Galp is developing plans to obtain VGO through alternative suppliers or to operate the refinery at a limited rate, always guaranteeing the supply of diesel to the Portuguese market.
