Bazan Group, Israel’s largest refining and petrochemical conglomerate, has announced its financial results for Q3 2024. The company reported an adjusted consolidated EBITDA of $70 million, with a refining margin of $8.9 per barrel.
Although Bazan Group experienced a net loss of $15 million in the quarter, its cumulative net profit for the year stands at approximately $95 million. This is a result of strong performance earlier in the year, despite a dip in Brent prices and the impact of extensive maintenance during Q3.
Challenges Amidst Ongoing Conflict
Chairman Moshe Kaplinsky addressed the difficult environment Israel is facing due to the ongoing conflict, noting that both social and economic challenges are mounting. He emphasized that Israel cannot afford to delay long-term energy planning and must reassess its reliance on an import-based fuel market. With the country’s energy security in mind, Kaplinsky stressed that Bazan Group will continue to play a vital role in ensuring a steady and secure energy supply for Israel, particularly as geopolitical tensions persist.
A Confident Future: Bonds and Energy Security
Despite the challenges, Bazan Group remains optimistic about its future. CEO Assaf Almagor highlighted the stable foundation provided by the refining sector, which has helped maintain solid financial results. Almagor also noted the company’s successful issuance of bonds maturing in 2034, demonstrating confidence in Bazan’s long-term prospects. As Bazan Group looks ahead, it plans to continue focusing on both maintaining energy security and navigating the fluctuating global market, positioning itself for sustainable growth and resilience.
While Q3 2024 presented challenges, Bazan Group’s overall performance underscores its role as a key player in Israel’s energy sector. The company’s ongoing commitment to energy security, combined with its strategic financial initiatives, reflects its ability to overcome adversity and thrive in the years to come.