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Paramo Receives Diesel Supply Contract Extension From Czech Railways

July 18, 2008

Paramo, a 88.03% subsidiary of Unipetrol, has signed an extended agreement to provide diesel supplies to Czech Railways. The contract, worth approximately CZK8 billion, provides for regular diesel deliveries for the next three years.

Under the agreement, Paramo will supply 52 operating units of Czech Railways, to which it will deliver approximately 290 million liters of diesel over three years.

Paramo has been supplying Czech Railways since 2003. It will produce a part of the diesel in its own refinery in Pardubice, while the Litvinov and Kralupy refineries will produce the rest. It won the new contract in a public tendering process, in which Cepro and Slovnaft also participated.

Vojtech Marek, head of the fuels department at Paramo, said: “In the tendering process we were able to capitalize on our experience as a supplier of long standing, and our knowledge of the issues of storage and logistics in Czech Railways’s operating units. Also our ability to bring supplies from multiple sources has been instrumental in our success.”




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