BCP Moves to Delist BSRC to Streamline Corporate Structure and Efficiency
Bangchak Corporation Public Company Limited (SET: BCP) is actively pursuing a shareholding restructuring of Bangchak Sriracha Public Company Limited (SET: BSRC), with the core goal of transferring BSRC’s minority shareholders to become shareholders of BCP, effectively paving the way to delist BSRC from the Stock Exchange of Thailand (SET).
Ms. Phatpuree Chinkulkitnivat, the Chief Financial Officer and Senior Executive Vice President of Accounting and Finance at BCP, provided this update on the strategic move, which is intended to streamline the corporate structure and significantly enhance operational efficiency across the group.
Currently, BCP holds a controlling 81.74% stake in BSRC, an acquisition made from ExxonMobil Asia Holding at a cost of THB 9.8986 per share.
The company is now in the regulatory phase, actively working on submitting the necessary filing documents to the Securities and Exchange Commission (SEC) and expects to receive feedback and approval by early September.
Following regulatory approval, BCP plans to launch a compulsory tender offer for the remaining minority BSRC shares, an action that is likely to take place between October and November of this year.
The entire process is slated for completion quickly, with BCP expecting to finalize the delisting of BSRC from the stock market by early to mid-December 2025.
This move is part of a broader strategy by BCP to consolidate its key assets and simplify its financial reporting, which often leads to reduced administrative costs and improved capital management.
Concurrently, BCP is focusing on expanding its core marketing segment, planning to add 100 new service stations in 2025 to its existing network of 2,171 locations, with the aim of exceeding 2,200 stations by year-end, further solidifying its market position.
Growth and Discovery Fueling Natural Resources Expansion
BCP’s natural resources segment is demonstrating robust growth, marked by upward revisions in production forecasts and a significant new oil discovery, which together enhance the company’s long-term reserve base and financial outlook.
In its natural resources segment, BCP reported strong operational improvements at OKEA ASA, leading to an upward revision of production volumes.
The forecast for 2025 has been adjusted to 30,000–32,000 barrels of oil equivalent per day (BOE/D), a rise from the previous range of 28,000–32,000 BOE/D.
Similarly, output projections for 2026 have also been significantly increased to 31,000–35,000 BOE/D, up from the earlier forecast of 26,000–30,000 BOE/D.
These revised figures are attributed to improved production capabilities achieved at certain petroleum sites under OKEA’s management.
A major boost to the segment came from OKEA’s recent announcement of a significant oil discovery at the Talisker exploration well located in the Brage field (PL 055), where OKEA operates and holds a 35.2% stake.
This discovery, found in the Cook and Statfjord formations, is believed to have strong commercial potential, with preliminary estimates placing the gross recoverable resources between 16 and 33 million barrels of oil equivalent (MMboe).
Further exploration and evaluation are planned by year-end for additional potential reserves in the deeper Brent formation.
Additionally, BCP is expanding its exploration footprint through a partnership with Chevron Offshore (Thailand) Limited (COTL) for petroleum exploration activities in Block G2/65 situated in the Gulf of Thailand.
This aggressive expansion in natural resources complements the consolidation of the refinery assets gained through the acquisition of the BSRC facilities.
Sector Outlook and Analyst Confidence in BCP’s Strategy
BCP anticipates improved operational performance in the second half of the year across its refining, marketing, and renewable energy segments, with analysts maintaining a positive long-term view supported by strategic growth initiatives.
Looking ahead to the second half of this year, BCP projects a significant improvement in its refinery operations, particularly as the Sriracha refinery—which will soon be consolidated following the delisting of BSRC—resumes normal output after experiencing a slowdown in the first half.
The company predicts that refinery utilization rates will increase by a strong 10–12%.
The marketing segment is also forecast to grow by 2–3% in the latter half of the year, driven by the expansion of service stations and the Inthanin coffee chain, which plans to open 272 new branches, bringing the total to 1,300 by year-end.
Furthermore, BCP anticipates higher capacity payments from its renewable power plants, especially those located in the United States.
The bio-product segment is expected to benefit from seasonally stronger ethanol sales in the third and fourth quarters.
Phillip Securities (Thailand) highlighted the positive impact of the Talisker oil discovery, estimating the recoverable reserves at 16–33 MMboe, split between 2–7 MMboe from the Cook formation and 14–26 MMboe from Statfjord.
The analyst maintains a positive outlook on BCP’s long-term growth prospects, supported by the increase in oil reserves, and reiterates a ‘Buy’ recommendation on BCP, with a target price of THB 47 per share.
However, the firm cautions that near-term improvements in oil prices and refining margins are still needed to strongly bolster performance for the remainder of the year.
