By an OGJ correspondent
BANGKOK, June 13 -- Thai state-run energy group PTT PLC and Chevron Corp. signed an agreement to merge their refining subsidiaries in Thailand in a move that will create one of largest oil refiners in Asia with a processing capacity of nearly 300,000 b/d of oil.
The accord calls for PTT and Caltex Trading & Transport Corp. (CTTC), Chevron's oil trading unit, to swap shares in the two refining units—Rayong Refinery Co. (RRC) and Star Petroleum Refining Co. (SPRC).
Following the share exchange, PTT will hold 62% of the merged company. Chevron, through CTTC, will hold the remaining 38%, according to PTT executives.
PTT owns 100% in RRC and has a 36% share in SPRC. CTTC holds 64% of SPRC. The two sides expect to complete final agreement on the share swap in the third quarter of this year.
At yearend, the merged company will offer as much as a 30% stake through an initial public offering.
