Chairman’s Message

THE CHAIRMAN’S MESSAGE

Dr. Ahmed bin Ali Al Sharyan Chairman of the Board of Directors

We have ended 2019 with remarkable achievements not only for GPIC but also for the Kingdom of Bahrain. Our 2019 turnaround was successfully completed in a safe, secure, efficient and productive manner and our new Urea Formaldehyde plant was effectively commissioned and started operations at the end of December.

With the passing of 2019, and the celebrations of its 40th anniversary, GPIC has been able to remain unique in its leadership in the fields of industry and the environment, thanks to God Almighty and to wise management of GPIC’s Board of Directors. This has contributed to Bahrain becoming a prominent player in the petrochemical industry.

In recognition of its efforts, GPIC continued to attain distinguished and diverse achievements. These were not just in Bahrain but also the Arab world and beyond. In relation to Health and Safety GPIC’s constant efforts to improve culminated in achieving a record +32 million working hours for its workforce and contractors without any lost time accident, which exceeds 16 years of safe work. During 2019, GPIC was awarded the RoSPA International Safety and Chemical Sector Awards by the Royal Society for Prevention of Accidents (RoSPA) from the UK for its excellence in occupational health, safety and the environment, as well as the Arab Award for Social Responsibility for 2019, granted by the Arab Network for Social Responsibility in institutions. These awards were presented to GPIC for its outstanding application of SHE standards and for undertaking a leading role in this area. In addition, due to its responsible and safety reputation GPIC has been exempted from monitoring by the Supreme Council for the Environment when importing and clearing chemicals during the standard customs clearance operations, this means it has been put on the White List.

GPIC was also chosen as one of the distinguished workplaces for 2019, specifically in the field of occupational safety and work environment safety and several of its prominent employees were honoured.

Continuing on their wave of success, the company won the IFA 2019 Industry Stewardship Champion Gold Medal, an award given by the International Fertilizer Association. It was also presented with the Procurement Risk Management Award in recognition of its successful managing of procurement risks and using advanced solutions, while providing services efficiently and with speed and accuracy.

In acknowledgement of its targeted initiatives and various programmes to support the economy, the company won three awards. These included the Best Performance Award for 2019, the Mohammed bin Rashid Al Maktoum Business Award 2019 and the Mohammed bin Rashid Al Maktoum Award for Business Innovation 2019. It also won the Dubai Chamber of Commerce and Industry Award for Corporate Social Responsibility, awarded for excellence in implementing its innovative programmes in community service and sustainability.

We also celebrated the total production in 2019, as it was not only higher than the previous year but it has been the highest ever production and export achieved since inception. GPIC produced a total of 1,644,590 tons of ammonia, urea and methanol, its highest annual production. The urea plant also achieved its highest production ever at 727,244 tons.

Due to the ongoing unpredictable global economic conditions, prices have fallen sharply for the GPIC’s products in the second half of 2019, however GPIC was still able to achieve profits that amount to 33.98 million dollars by the end of the year.

GPIC has continued to work hard to build on these successes and has received praise and recognition from its Shareholders for its relentless and driven attitude to sustainability, corporate social responsibility and beyond excellence results. This stewardship has helped charter GPIC’s course safely through the current volatile market and economic conditions that are affecting the industry. We have continued to build on the enhancement and streamlining of our internal processes, as well as our focus on cost optimization and business continuity.

This outstanding performance, and continuous achievements, would not have been possible without the grace of God Almighty and the support and guidance of the wise leadership that has steered it to create a fertile investment environment.

We express our gratitude to His Majesty King Hamad bin Isa Al Khalifa, may God protect him, His Royal Highness Prince Khalifa bin Salman Al Khalifa, the Prime Minister, may God protect and preserve him, and His Royal Highness Prince Salman bin Hamad Al Khalifa, Crown Prince, Deputy Supreme Commander and First Deputy Prime Minister, may God protect and preserve him. We ask God Almighty to make them an asset and a support for this country and the loyal people and to perpetuate the blessings of security and safety for all. Our thanks also goes to all government institutions in Bahrain and our honorable shareholders – the Bahrain Oil and Gas Holding Company in Bahrain (Nogaholding), the SABIC Agri-Nutrient Investments Company and the Petrochemical Industries Company (PIC) of Kuwait for their continuous support and encouragement.

Sincere appreciation also for all the efforts made by the members of the Board of Directors. Their wise policies, inspired opinions and high levels of professionalism that have had a significant impact on the company’s success and prosperity.

Finally, my sincere thanks and deep gratitude goes to the President of GPIC, members of the Executive Management and all our Employees for their loyalty, dedication to work and their efforts, which made all of these achievements a reality.

Dr. Ahmed bin Ali Al Sharyan Chairman of the Board of Directors