Chairman of the Board of Directors of MPHC, Ahmad Saif Al Sulaiti
Doha: Mesaieed Petrochemical Holding Company (MPHC) will remain focused on its five-year strategic plan and is poised to strengthen its market position, said Chairman of the Board of Directors of MPHC, Ahmad Saif Al Sulaiti (pictured). Addressing the Annual General Assembly Meeting of MPHC, held yesterday, he said that MPHC will relentlessly work to enhance shareholder value.
“Going forward, the Group will remain focused on its five-year strategic plan and is poised to strengthen its market position, while relentlessly working to enhance shareholder value. As we follow a strategy towards being a first-quartile petrochemicals producer known for operational excellence, higher safety and environmental standards remains a key to our success,” said Ahmad Saif Al Sulaiti.
He added that while macroeconomic sentiments remained positive, MPHC continued to focus on operational excellence, growth and sustainability. Operational excellence was mainly driven by continuous optimization of our processes, improved reliability and enhanced asset integrity. “On sustainability front, we continued to limit the environmental impacts of our businesses, while enhancing energy efficiency and conservation measures,” he added.
MPHC’s financial performance for the financial year 2021 showed a strong recovery from the previous year, underpinned by improved macroeconomic environment and supply constraints responsible for ongoing sequential product price recovery and resulted in a solid bottom-line growth.
“Given the current short- to medium-term market outlook coupled with our CAPEX programs planned for the upcoming years, the Board of Directors propose to pay a total annual dividend distribution for the year ended 31 December 2021 of QR1.38bn, equivalent to a payout of QR0.11 per share, representing a payout ratio of 74 percent of net earnings,” he said.
Addressing the shareholders, Manager Privatized Companies Affairs Dept., QatarEnergy, Mohammed Jaber Al Sulaiti said that MPHC’s Health, Safety and Environment (HSE) performance in 2021 was again exemplary, reflecting its importance as a critical part of MPHC’s core values.
“In 2021, MPHC’s key HSE achievements included receiving certification to multiple international standards; further improving process safety; and completing more than a decade without a single recordable incident of heat stress illness at several facilities,” he said. “In addition, the strength of our marketing and distribution partner, gave us greater access to global markets, especially, in providing relentless support in steering the Group entities through the current supply chain crunch that global market are currently enduring,” he added.
Total capital expenditure for the year, primarily related to maintenance expenditures across joint ventures, amounted to QR257m. He added that the Group is expected to make various projects over the next five years to enhance operations and HSE, while ensuring greater plant reliability, integrity and maintenance. This will also help increase operational cash flows via added efficiency in operations and enhanced production levels.
“Going forward, our base case business strategy for the next five years will continue to focus on market development by accessing new geographies and create product and market arbitrages and bring logistical cost savings to the Group,” he said. “We will also continue to focus on productivity and efficiency gains via the on-going cost optimization programs. Additionally, we will selectively invest in capital investment projects that we believe will increase our competitive position and add value to our shareholders,” he added.
