Hungarian oil and gas company MOL has the capacity for an acquisition worth more than 1 billion dollars and is examining expansion targets in the region including Polish oil refiner Lotos, MOL CEO Jozsef Molnar told Wednesday's business daily Napi Gazdasag, Realdeal.hu reports.
But "organic growth, and within that, quality growth gets more emphasis in MOL's case today than acquisitions," business daily Napi Gazdasag quoted Molnar as saying.
However "we are still examining opportunities in the region, even with regard to the geographically somewhat distant Lotos," Molnar said.
Poland expects to pick a buyer for its controlling stake in Lotos by early 2012. The government's 53 percent stake in the Gdansk-based refiner is worth around 3 billion zlotys (USD 1.08bn) at market prices.
The capability of MOL to take out loans has improved recently since the Hungarian government bought the 21.2 percent stake in the company from Russian oil and gas company Surgutneftegas for 1.88 billion euros in a transaction closed on July 6, but "right now there are not too many firms for sale worth buying", the CEO said.
MOL's shares "can come in handy" in a resolution of the situation surrounding the company's Croatian subsidiary INA, and/or in any acquisition attempt whatsoever, Molnar said.
The CEO said MOL expected a gradual increase in fuel consumption, mainly in diesel consumption, where the company sees 3-4 percent annual growth on a sustained basis, while in petrol it forecasts 1-1.5 percent consolidated growth across its markets in the region.
MOL, which paid no dividend on the past two years' results, could return to its previous dividend policy at some point, although "in terms of the majority of our large shareholders, I think they are more interested in the stability (of the dividend) rather than the dividend itself," he said. "In the future MOL can get nearer to its previously set dividend policy."
Answering a question relating to earlier implications that the company expects the Hungarian government to decide how and for what it wants to use its MOL shares, Molnar emphasised that the company "should work in the interest of its shareholders and the profit, regardless of any other consideration". "MOL's got to have balanced relations with the government whether it is a shareholder or not", the CEO added.
But "organic growth, and within that, quality growth gets more emphasis in MOL's case today than acquisitions," business daily Napi Gazdasag quoted Molnar as saying.
However "we are still examining opportunities in the region, even with regard to the geographically somewhat distant Lotos," Molnar said.
Poland expects to pick a buyer for its controlling stake in Lotos by early 2012. The government's 53 percent stake in the Gdansk-based refiner is worth around 3 billion zlotys (USD 1.08bn) at market prices.
The capability of MOL to take out loans has improved recently since the Hungarian government bought the 21.2 percent stake in the company from Russian oil and gas company Surgutneftegas for 1.88 billion euros in a transaction closed on July 6, but "right now there are not too many firms for sale worth buying", the CEO said.
MOL's shares "can come in handy" in a resolution of the situation surrounding the company's Croatian subsidiary INA, and/or in any acquisition attempt whatsoever, Molnar said.
The CEO said MOL expected a gradual increase in fuel consumption, mainly in diesel consumption, where the company sees 3-4 percent annual growth on a sustained basis, while in petrol it forecasts 1-1.5 percent consolidated growth across its markets in the region.
MOL, which paid no dividend on the past two years' results, could return to its previous dividend policy at some point, although "in terms of the majority of our large shareholders, I think they are more interested in the stability (of the dividend) rather than the dividend itself," he said. "In the future MOL can get nearer to its previously set dividend policy."
Answering a question relating to earlier implications that the company expects the Hungarian government to decide how and for what it wants to use its MOL shares, Molnar emphasised that the company "should work in the interest of its shareholders and the profit, regardless of any other consideration". "MOL's got to have balanced relations with the government whether it is a shareholder or not", the CEO added.