The National Company of Electrolysis and Petrochemistry (SNEP) continues to implement its development plan in Morocco. The launch of sites of extension of production capacity has, thus, generated a considerable increase in investment. In accordance with the strategic directions of the company, capital expenditure for the third quarter of 2020 reached $1.75 million (15.8 MDH), bringing the total investment since the beginning of the year to $5.7 million (51.2 MDH).
This effort is part of an ambitious development plan for the group initiated in 2010. After a suspension of several years for dumping problems, it was relaunched during 2016-2017. The second stage of the program started in 2018 with a budget of $27.4 million (247 MDH). The initial envelope was $14.4 million (130 MDH), and an additional $13 million (117MDH) were added to cover certain provisions of the third stage of the program, scheduled for 2020.
Read more about the developments plan that SNEP has recently announced in Morocco and read the latest business headlines in the world with the Born2Invest mobile app.
SNEP will continue to also focus on the extension of production capacity
In its financial communication last March, SNEP had announced its decision to direct the last stage of its project to products with higher added value, while continuing the finalization of the previous stage dedicated to the extension of production capacity (90 KT of PVC and 75 KT of caustic soda).
“This step, which will bring the production of SNEP to 120 KT for PVC and 100 KT for soda, will diversify the range of products to take into account the changing needs of the national economy, “said the company.
In parallel, SNEP has succeeded, during these first three quarters, the implementation of various levers of operational efficiency to support the performance of its industrial tool, accelerate its growth and strengthen its profitability in the medium and long term. It should be noted that at the end of the third quarter of 2020, SNEP recorded a strong recovery of its activities, with a turnover of $29.3 million (263.9 MDH) against $25.6 million (230.9 MDH) during the same period of the previous year, representing an increase of 14.3%.
“This solid performance has made it possible to compensate for the decline recorded during the first half of the year (-15%) with a cumulated turnover of the first nine months of $74.2 million (667.7 MDH), limiting its fall to 5.4%,” indicated the management of SNEP.
DISCLAIMER: This article was written by a third party contributor and does not reflect the opinion of Born2Invest, its management, staff or its associates. Please review our disclaimer for more information.
This article may include forward-looking statements. These forward-looking statements generally are identified by the words “believe,” “project,” “estimate,” “become,” “plan,” “will,” and similar expressions. These forward-looking statements involve known and unknown risks as well as uncertainties, including those discussed in the following cautionary statements and elsewhere in this article and on this site. Although the Company may believe that its expectations are based on reasonable assumptions, the actual results that the Company may achieve may differ materially from any forward-looking statements, which reflect the opinions of the management of the Company only as of the date hereof. Additionally, please make sure to read these important disclosures.
First published in LesEco.ma, a third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.
Although we made reasonable efforts to provide accurate translations, some parts may be incorrect. Born2Invest assumes no responsibility for errors, omissions or ambiguities in the translations provided on this website. Any person or entity relying on translated content does so at their own risk. Born2Invest is not responsible for losses caused by such reliance on the accuracy or reliability of translated information. If you wish to report an error or inaccuracy in the translation, we encourage you to contact us.
Spain Scores Better than its European Neighbors in ESG
Despite being a universe of rising assets, the war in Ukraine and the withdrawal of stimulus by central banks has...
Tourism Revenues in Morocco Started to Increase
Tourism revenues amounted to $960,000 (9.7 MMDH) at the end of March 2022 after the context of tourism recovery. Prior...
Tenuta Liliana Vineyard Opens Up to Popular Shareholding on CrowdFundMe
The newly built winery of Tenuta Liliana was created inside a former tuff quarry, reclaimed and completely regenerated, and houses...
Avalanche Price Forecast: AVAX Forms a Dangerous Pattern
In the four-hour chart, the AVAX price has been moving in a tight range over the past few days. A...
First Closing of €95M for Bio, Indaco’s New Fund Dedicated to Biotech and Pharma
Indac's new fund, Indaco Bio is focused on Italy, but will not lack significant room for investments abroad, particularly in...
Cannabis2 weeks ago
Why the Cannabis Market Has Growing Investment Prospects
Featured2 weeks ago
Understanding the Fed’s Rate Hike: the Long Term Goal of 2.0% Inflation
Business2 weeks ago
These Are the Top 5 Lithium Stocks to Own Right Now
Crypto2 weeks ago
Kraken Opens a Waiting List for the Upcoming NFT Marketplace