The Group’s strategy, in line with the «Vision 2025» strategic plan, is focused on three key areas supported by horizontal initiatives. The objective is to expand and diversify the business portfolio, increase profitability and create value for shareholders.
More specifically:
Strengthen and decarbonize the downstream business: evolve refining and petrochemicals through decarbonization and operational excellence, expand the international market reach and focus marketing efforts on customer needs, utilizing digital technologies.
Expand downstream value chain into adjacent areas: establish a significant presence in biofuels, enhance mobility offerings through e-mobility services and explore opportunities in the hydrogen economy, recycling and synthetic fuels.
Diversify and scale up into green energy: grow and integrate renewables & storage solutions into our portfolio, increase geographical diversification, further develop energy management and trading capabilities, while improving the effectiveness of our utility position.
Horizontal initiatives
The horizontal initiatives encompass a range of actions with the aim of attaining diverse objectives. These include the expansion of digital transformation, the increased focus on operational excellence, the implementation of re-organization and the investment in human capital, the integration of risk management best practices into the business model, and the redefinition of the ESG strategy. The objective is to achieve a 30% improvement in our GHG footprint by 2030, along with a 20% additional emissions avoidance through the expansion of the RES portfolio and a commitment to achieving net zero emissions by 2050.
In the area of refining supply and trading, as well as petrochemicals, our main priorities revolve around ensuring safety, decarbonisation of processes, operational excellence, energy efficiency and autonomy, digital transformation, expansion of the petrochemicals’ production capacity and investment in cleaner fuels.
Key strategic initiatives include:
Developing carbon capture storage (CCS) at the Elefsina refinery.
Facilitating digital transformation: Optimizing our supply chain through mass balance and load point management, predictive maintenance and process safety management systems.
Establishing an international trading platform.
Investing in the production of biofuels. − A UCO co-processing unit (45 ktpa) at the Thessaloniki refinery is in progress for the production of HVO. − Development of a new stand-alone SAF production unit at the Aspropyrgos refinery.
Exploring opportunities in the hydrogen economy, recycling and synthetic fuels. − Production of e-methanol and e-jet fuels from green hydrogen and the captured CO2 from the CCS unit, as well as production of e-ammonia from green hydrogen.
Investing in the production of high value-added petrochemical products. − Increase polypropylene capacity in the Thessaloniki refinery to 300 ktpa.
Domestic Marketing
The EKO Excellence strategic transformation program progressed in 2023 with its second and third phases, with the objective of strengthening the business’ position in the fuel and energy market, considerably enhancing profitability and expanding into new fuels and services.
The primary initiatives of the transformation program include:
Increasing the market share of COMO service stations and premium products.
Expanding the range of products and services (NFR, EV charging, loyalty program).
Implementing a «net-zero energy» approach at COMO stations.
Developing a commercial strategy for industrial clients.
International Marketing
The strategic objective for the Group is to grow its position in the Southeast European markets where it already operates.
Key priorities include:
maintaining a leading position and increasing market share in Cyprus, Montenegro and the Republic of North Macedonia,
improving the profitability of OKTA,
continuing expansion in Bulgaria and Serbia through targeted network growth and optimization of the supply chain.
Focus on specific offshore blocks in Crete and the Ionian Sea.
The acquisition of 2D seismic data in the Cretan blocks has been completed and the current focus is on processing the data. Furthermore, ongoing 3D seismic surveys are anticipated to enhance the evaluation process and inform the final decisions regarding future actions.
The interpretation of 3D seismic data is being conducted in three offshore regions, namely «Ionian», «Block 2» and «Block 10».
The Group aims to grow its position in the EV charging market and expand its range of mobility products and services. This will be achieved through collaboration with the fuels marketing business to further develop customer e-mobility solutions, expand the DC charging network at petrol stations and other points of interest while developing an AC charging network at public, semi-public and private locations of interest.
The Group aims to establish a leading position in the Greek market through:
developing a portfolio of over 1 GW of operational capacity by the end of 2025, consisting of PV, wind and storage projects and over 2 GW of operational capacity by 2030
developing offshore wind projects
expanding internationally
strengthening energy management capabilities
By 2023, the Group had already positioned itself as a leading player in both the Greek market and selected international markets, with a portfolio under development exceeding 4.3 GW. The total installed capacity in 2023 has reached 356 MW, with presence in Greece, Cyprus and Romania and 0.7 GW of projects are currently being constructed or are in advanced stages of development with a regional footprint.
In the power generation and natural gas sectors, the Group is focused on enhancing its effectiveness through its affiliates ELPEDISON and DEPA Commercial. The aim is to maximize synergies with its refining, marketing and renewable energy businesses.
The Horizon Program, a vital element of HELLENiQ ENERGY’s comprehensive Group transformation strategy (VISION 2025), is currently progressing successfully. The program is enhancing the working methods of our personnel, contributing to efforts to improve performance, and extending its presence in new domains of business operations. To date, more than 100 digital initiatives have been either ongoing or already finalized throughout the organization. These initiatives have engaged over 500 individuals in diverse working teams, utilizing over 1,500 hours of specialized training.
Furthermore, it yields significant benefits in the area of safety and risk management efficiency, while also contributing to the reduction of the environmental footprint and fostering a culture of innovation. The multi-year action plan consists of a multitude of initiatives with substantial investment in technology-based projects across 4 core pillars:
In 2023, a large number of digital initiatives were implemented at the refineries to support daily operations. Indicatively:
Moreover, several initiatives were undertaken in Enterprise Functions, Retail and Digital Core, including:
Implementing automation and data analysis models to save time, minimize the risk of human error, and enhance the productivity and operation of Corporate Divisions.
Establishing a new Group Digital Core, which involves transitioning the central enterprise resource management systems (SAP ERP) to a single, modern system with advanced capabilities (S4HANA), along with deploying a new Human Resources system.
Completing the digitization of Group Procurement to optimize the operation of Group procurement processes.
Introducing a new Treasury Management system.
Continuously evolving the Loyalty System for Retail entities, covering commercial activities in Greece and subsidiaries.
Launching the Digital Academy, which provides training and digital upskilling opportunities for all employees, supported by a state-of-the-art educational content platform.
Furthermore, HELLENiQ ENERGY has been chosen as one of the first 500 companies globally to participate in an Early Access Program that is concentrated on the implementation of artificial intelligence tools in the digital work environment, thereby presenting enhanced opportunities for productivity (Productivity GenAI).
The Digital Transformation program was launched 4 years ago, with a cumulative investment of €50 million, resulting in tangible financial benefits. In particular, the cumulative financial benefit has exceeded €60 million and it is estimated to reach €160 million by the end of 2025. Additionally, the estimated annualized benefit from 2025 onwards is expected to exceed €50 million.
In 2024, numerous new initiatives and projects have already been scheduled, with the objective of further advancing the Digital Transformation and contributing to safety, competitiveness, and the adoption of best practices. These efforts aim to simplify and harmonize operations, enhance the working experience of our employees, as well as strengthen our partnership with customers and partners.
Indicatively, during 2024, we have planned for the following:
Digitization of our customer service and communication channel via the e-EKO program.
Expansion of digital solutions across all Group businesses (including Renewable Energy Sources and e-Mobility).
Incorporate new technology trends and AI tools via a structured plan into our solutions portfolio (Business & Productivity GenAI).
Finalization of a centralized Data management Strategy, employed towards end-to-end, crossfunctional solutions.
