We're building a super chaebol in Hong Kong

#112 - Crude oil purchase price determination

A hundred acres of land, an area of more than 60,000 square meters, although not very large, is enough for a bodyguard company to use.

"Okay, then I'll trouble the boss." Wang Hai's eyes lit up when he heard this.

A training ground that is backed by mountains and faces the sea is simply tailor-made for Tian He Bodyguard Company.

Many of their bodyguard team members are from special forces, and they have been trained in all kinds of complex terrains.

The West Ring area has mountains, sea, and ponds, with complex terrain, which can create a very good training environment for the training camp.

"Brother Wu, what about you?" Su Cheng looked at Brother Wu.

This head of the intelligence department has been very busy recently. Su Cheng has come to Tianyuan Building so many times, he has hardly seen him.

"The intelligence department has been developing for more than two months now. Currently, in the entire Hong Kong, it can be said that no major event can escape our eyes.

We have people in all major gangs and police stations in Hong Kong. Among them, an informant from a medium-sized gang is even the second-in-command of their gang; as for the police station, the Superintendent of the Central Police Station is also one of our people. Other police stations have inspectors, sergeants, police officers, etc., and we have developed informants.

Currently, we can know very quickly if there is any disturbance in Hong Kong.

Outside of Hong Kong, we have also begun to develop informants in Haojing, Wanwan, and Singapore.

However, our intelligence system requires a huge investment, costing tens of millions of Hong Kong dollars a month."

Brother Wu reported in detail.

Su Cheng nodded. The intelligence department is inherently a money-burning organization.

It costs money to place so many informants everywhere, let alone develop them abroad. Su Cheng can still accept tens of millions.

"Develop the bodyguard business as soon as possible. I hope that in the future, the entire Tian He Bodyguard Company can achieve a balance of payments, instead of relying on me to constantly invest money into it," Su Cheng said to the two.

Su Cheng never thought of making money from Tian He International Bodyguard Company. The original intention of establishing it was to protect his own assets.

Now, the scale of its subsidiaries is getting bigger and bigger, and security forces cannot be ignored.

Nowadays, the external bodyguard service is developing well. Judging from the data they provide, it should not be a problem to earn several million Hong Kong dollars a month in the future. By then, it will basically be able to reduce the expenditure of the intelligence department.

"We will work hard. Boss, please give me a year. By then, I will make Tian He's bodyguard business the number one in Hong Kong!" Wang Hai said confidently.

"The intelligence department will also find ways to find profit points while expanding, such as selling intelligence news, etc., to make up for the huge expenditure of the intelligence department. Maybe we can even achieve profitability in the future," Brother Wu also said.

"That would be great. You two work together to help me run Tian He International Bodyguard Company well. I will not treat you badly!" Su Cheng said with a smile.

Su Cheng chatted with them for a long time. After the chat, they went up to the third floor together to watch the training of the employees in the training room.

Tian He Bodyguard Company's recruitment requirements are very strict. In addition to the most basic requirements such as martial arts, height, weight, etc., character testing is also a very important item.

If the character is not up to standard, no matter how strong the martial arts are, they will not be accepted.

Tian He's employee salaries are much higher than those in the same industry. This is why the recruitment requirements are so high, but there is never a shortage of people.

After leaving Tian He Bodyguard Company, Su Cheng directly took the elevator to Zhang Qizheng's office.

"Boss, you're here. I'll pour you a cup of tea." Seeing Su Cheng coming in, Zhang Qizheng immediately got up to get a disposable cup and poured Su Cheng a cup of tea.

After Su Cheng sat down, he smiled and said, "You've been working hard recently."

"It's all I should do. I'm lucky to be a witness to your assets growing step by step," Zhang Qizheng joked.

Among the many executives under Su Cheng, Zhang Qizheng is one of the people he trusts the most.

Zhang Qizheng has been with him for four years in the five years of his entrepreneurship, and he has always been hardworking and dedicated. He will only perfectly complete the tasks he is assigned, and he has never complained.

This is also why Su Cheng likes to find Zhang Qizheng when he has something to do.

"Tell me, how is the crude oil matter going?" Su Cheng asked with a smile, crossing his legs.

"This is the crude oil supplier we have contacted and confirmed so far, totaling 170 million barrels, which has been completely determined, and we are just waiting to sign the contract." Zhang Qizheng took out a document and handed it to Su Cheng.

Su Cheng picked up the document and read it carefully.

Kuwait, reserved 14 million barrels of crude oil, priced at US$11.5 per barrel;

Brazil, reserved 28 million barrels of crude oil, priced at US$10.5 per barrel;

A total of 170 million barrels of crude oil are reserved, with a total value of US$1.859 billion.

Judging from the price list, some prices have been negotiated lower, and the oil prices of OPEC member countries have also been uniformly negotiated down by US$0.5 per barrel, which can be said to have saved a lot of money.

But it's normal. With such a large transaction, their负责人 also wants to make a deal. Even if the price is fixed, there must be some discounts in secret, as long as it is not announced.

Originally, he thought that the funds should be around US$2 billion, but he did not expect that the funds are now more abundant, and the places where money is needed are not too tight, which is gratifying.

With so many reasons, transportation costs of around 100 million are definitely needed.

His current funds, calculated according to the current exchange rate, are approximately US$2.1 billion. Subtracting the US$1.859 billion for purchasing crude oil, and then subtracting the transportation costs of approximately US$100 million, he has approximately US$140 million available.

"You are really my great hero. At the end of the year, I have to give you a big bonus separately," Su Cheng laughed.

"These are all I should do, and I am also the general manager of Tianwen Petroleum Company. It is my duty to save money for the company," Zhang Qizheng said with a smile.

"Find a unified time and invite their people in charge to Hong Kong. Then sign the contract together. This matter cannot be delayed," Su Cheng said.

It is already August, and the construction progress of the oil storage tanks in Tuen Mun has reached one-third. The crude oil procurement must be handled faster.

After signing the contract, Su Cheng will pay the deposit. Generally, if either party breaches the contract, the breaching party will have to pay liquidated damages. Therefore, under normal circumstances, after signing the contract, the transaction is truly reached. The next thing is to pull the crude oil from them to Singapore and Hong Kong.

"Boss, don't worry, I have already talked with all the people in charge and agreed to sign the contract in Hong Kong on August 5," Zhang Qizheng said.

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