Valley Emperor

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Due to the tight production of the Royal Oil Company, the supply to the Ottoman region in the past few years must have been limited, and it was only a few thousand tons.

However, if the market is made in the future, then the refinery here in Baku can still expand production, but there is too much time to say, but there are still 10,000 or 20,000 tons.

Zuo Chengsheng is very satisfied with this data. The price of kerosene in the market is still relatively high.

Because the current kerosene appears as a cheap substitute for whale oil, its pricing is inevitably affected by whale oil.

In the early years, due to the accelerated progress of local industrialization, people's income increased, and the demand for night lighting also increased sharply. Therefore, whale oil became more and more expensive. Taking Shanghai as an example, from Xuanping's twenty-five years For every two cents per liter, it soared all the way to six cents per liter, and at its peak, it once reached sixty cents per liter.

Its high price is simply unaffordable for ordinary families.

This is also the reason for the early attempts to extract kerosene from coal.

When the technology of refining kerosene from oil appeared, all this changed. The kerosene extracted from the first batch of oil mined by Royal Petroleum Company was cheaper than whale oil, but it was not much cheaper. Around five corners.

But this is only the price at the beginning. Later, in order to compete for the market, the price continued to decrease. Now, the kerosene in the ordinary market is about 20 cents per liter, and the corresponding whale oil has also dropped to more than 20 cents, returning to Xuanping 20. five-year price.

In fact, the oil companies could continue to cut prices, because their kerosene costs are so low that even if they are a few cents a liter, they can make a profit.

However, their output is still too low now, which is far from enough for the huge market demand. Now this price is already in short supply, and it makes no sense to continue to reduce the price.

Even the kerosene provided to the West Sea Trading Company is directly mined and refined in Baku, and then sold, saving expensive shipping costs, but even so, the Royal Oil Company did not cut prices!

The price of Xihai Trading Company is also not cheap. It costs about 1.6 cents per liter. This price is almost relative to the price of the goods in the central provinces.

But Zuo Chengsheng is different from domestic kerosene agents in that he has free pricing power in the Ottoman region, and he will not suffer too many other influences.

As for how much Zuo Chengsheng sells at Ottoman, the oil company doesn't care. As long as Zuo Chengsheng's annual sales can reach their predetermined target, they will continue to cooperate.

If it is said that deliberately raising the price makes it impossible to sell and the sales volume fails, Zuo Chengsheng's agent qualification will naturally be cancelled.

Therefore, this pricing needs to consider the profit, but also need to consider maintaining a certain sales volume.

In order to open up the market, Zuo Chengsheng decided to sell the first batch of kerosene at a low price. According to the price in the domestic Shanghai area, the profit is not high, but it will help open the market quickly.

As long as the market is opened and consumption habits are cultivated, then the follow-up price will naturally increase.

This method is also one of the most common methods used by Datang businessmen to do business overseas.

First hit the local market with a lot of cheap industrial goods, grab market share, and knock out local competitors.

Once you get rid of your competitors, it's time to raise prices and reap huge profits.

The most typical is Datang's foreign cloth trade!

Datang's machine-made cloth is cheap, and even with shipping costs, it is much cheaper than the native cloth of those indigenous countries.

Therefore, the merchants of the Tang Dynasty took advantage of the low price to attack the cloth market in the indigenous area and squeezed all the local cloth workshops.

After the market share rises, the price will be gradually increased, and it will not be very fast. Raising a little at a time will gradually cultivate the market's ability to accept and reap huge profits.

India, Europe and other regions, the two most important overseas textile markets of the Tang Empire, have basically gone through such a process.

Zuo Chengsheng also planned to sell oil in this way in the Ottoman Empire, to make a little money in the early stage, spread out sales channels, open up the market, and cultivate consumption habits. After all these are completed, it is time to harvest profits.

But even so, his profit is not low, at least he can have a gross profit of more than 20%.

It seems that the profit margin is not high, but the total amount is large!

If 1,000 tons of kerosene can be sold to the Ottoman region a year, then it is a business of 200,000 yuan a year, and the profit will be tens of thousands.

If the figure is increased to 10,000 tons in a few years, then this is a big business of one or two million yuan, and the profit is less than ten or two hundred thousand yuan.

Although their West Sea Trading Company had made hundreds of thousands of dollars in the past six months, the previous trade was abnormal and unsustainable.

Under normal circumstances, it is still like this, and it is estimated that it will only make a profit of 70,000 to 80,000 yuan a year.

After formulating many plans, Zuo Chengsheng just pulled over his many Ottoman channel distributors.

These are the Ottoman businessmen who have cooperated with him in the past, and most of them are Ottoman businessmen who have cooperated with him for a long time. It is through them that the West Sea Trading Company can continuously sell goods to the entire Ottoman region.

These people are actually the compradors among the Ottomans.

They made huge profits from selling Datang's goods, which led them to spare no effort to help Datang's products open up the local market.

After preliminarily finalizing the channel, Zuo Chengsheng found the Royal Oil Company. First, he imported 100 tons of kerosene in small batches and prepared to pull it to Osman to test the market.

The 100 tons of kerosene was soon divided among a dozen cooperative merchants under his command.

This is not the key, because everyone has pre-booked to do a wave of water test.

Crucially, after the kerosene entered the Ottoman region, its sales were astonishingly fast.

Not long after, more than a dozen merchants under Zuo Chengsheng came to the door all at once, saying that their kerosene had been bought out, and they hoped to continue purchasing.

The situation is gratifying!

Immediately, Zuo Chengsheng found the Royal Oil Company, saying that the demand for kerosene in the Ottoman region was huge, and he was going to buy another 500 tons. He also said that he was confident that he would sell at least 2,000 tons within a year.

But in the face of Zuo Chengsheng's request, the Royal Oil Company refused.

And when he refused, he still looked so heartbroken!

"It's just trial production now. Many equipment are still being debugged, and the output has not come up at all. Otherwise, wait, it is estimated that I can collect 100 tons for you next month!"

People from the Royal Oil Company are also very anxious now.

The people who come to buy goods are not only the West Sea Trading Company. In fact, all the agents are now urging the supply of goods.

But the output is not enough!

And it's not oil that's missing, it's refineries!

In Suzhou Oilfield, the annual output of crude oil is only 100,000 tons, and the Suzhou Oil Refinery is just enough to digest it.

But the oil extracted from the Baku side lacks enough refineries.

This is mainly because the oil production in Baku is too fast and the output is too high, and the supporting refineries invested by the Royal Petroleum Company have not been completed. It is far from being able to meet the current output of the Baku oilfield.

A month ago, the Royal Oil Company drilled a high-yield oil well in Baku, with a daily output of 150 tons. This well alone has an annual output of about 55,000 tons.

At present, the annual output of the Baku Oilfield has reached 200,000 tons, and this is because the oil company deliberately slowed down the pace of oil extraction.

Even though the Royal Oil Company has invested heavily in building new refineries in Baku and elsewhere, and expanding the capacity of the Baku and Kuri refineries, it will take time to build this plant.

So what is happening now is that crude oil is available, but the refinery is not enough.

Specifically on the Baku side, the current refinery has not yet been fully completed. Now it is only a small-scale trial production in the early stage, and more equipment is still being commissioned and installed.

The Royal Oil Company estimates that the full design capacity of the refinery will not be fully utilized until it has obtained Xuanping for thirty-six years at the earliest.

As for now, it is occasionally possible to produce dozens of tons or hundreds of tons.

In this regard, Zuo Chengsheng also has no way.

If he had a license on hand, he would have built an oil refinery by himself.

Too bad he didn't.

But he didn't, and it doesn't mean the others didn't either.

With the development of Baku Oil ~www.wuxiaspot.com~ the Ministry of State-owned Enterprises finally couldn't bear it any longer. After careful preparation, it directly listed the Imperial Oil Company.

Listening to this name means that it is not a simple enterprise. The Ministry of State-owned Enterprises is going to directly invest millions of cash in this company as capital, and at the same time grant the company an oil license, allowing it to explore, extract, and refine oil and other series of activities. Related Business.

Interestingly, the main backbone of the Imperial Oil Company is still divided from the Royal Oil Company.

This is not the poaching of Imperial Oil, but the talents actively supported by Royal Oil.

After all, the Imperial Oil Company is also an official enterprise, and the establishment of the enterprise was approved by Lin Ziran, so the Royal Oil Company must also support the establishment of the company.

The Imperial Oil Company has not yet found an oil field, but this does not prevent them from starting their business. They directly set up an oil refinery to prepare crude oil refining from the Royal Oil Company.

Anyway, the oil production of the Royal Oil Company in Baku is getting bigger and bigger, and relying on their own ability, it is beyond the ability to build so many refineries.

In addition to engaging in refineries, Imperial Oil's focus is still on finding oil!

And they also know that the mainland has basically been rummaged by the Royal Oil Company. Except for a Suzhou oil field and a few small oil fields, there is no other oil at all.

So they turned their attention to other places, such as Donghai Province, Dayuan Island, Qiongzhou Island, etc., but more importantly, the Southeast Asia region.

After this search, they really found oil on Dayuan Island. Although it was only a small oil field, it ended the history of Imperial Oil Company without oil fields.

Immediately after, they discovered traces of oil on Sidan Island in Banten Province, and immediately dispatched a survey team!