Galp's LPG business sells liquefied petroleum gas, propane and butane, at over 20,000 points of sale to one million end customers.
Galp distributes LPG in four ways: bottled, in bulk, LPG car and through pipes. In Portugal, the bottled segment is the most important and in Spain, the most important is the bulk segment.
The supply chain of LPG
Supply and refining
Galp distributes and sells propane and butane gas produced in the Sines and Matosinhos refineries, and uses imports to satisfy market needs.
Generally, propane is imported and there are regular imports for the storage of LPG in Sines or Leixões (Matosinhos refinery or Perafita park (Pergás)). Typically, we produce enough butane and only occasionally import this gas.
Storage and distribution
Galp has a total capacity to store 68,000 tonnes of LPG, distributed through the following facilities: 10,000 tonnes in the Sines refinery, 7,500 tonnes in the Matosinhos refinery, 9,400 in CLC's Aveiras park and 6,100 tonnes in the Pergás Perafita park.
Our most important storage unit is located at Sigás, where Galp has a 60% stake in partnership with Rubis (35%) and Repsol (5%). Galp's share in the infrastructures of Sigás guarantees a total storage capacity of 34,800 tonnes.
Galp uses LPG-filling infrastructure in partnership with other market operators. In Perafita, in Pergás park where Galp holds a 51% equity stake and in Aveiras, in the CLC park where Galp hold a 65% equity stake.
From these two facilities, we deliver LPG in bulk to customers by tank trucks, and LPG bottles by pick-up trucks.
We deliver LPG bottles to 210 resellers across Portugal. These resellers then distribute the bottles to second-line resellers, almost 700 service stations and more than 17,000 points of sale.
We use tanks to deliver gas in bulk, which may be on surface or buried to avoid changing the landscape of Galp and its customers.
The piped LPG business is similar to the bulk LPG business. However, the piped LPG business comprises a small group of bottles, while the bulk LPG business is stored in tanks.
For bulk and piped gas, a gas distribution network supplies houses, buildings and residential areas.
Products and applications
The Pluma case
Through ongoing innovation and exhaustive market research, in October 2005, Galp developed a new product: Pluma.
This new LPG bottle, developed and manufactured entirely in Portugal, is a testament to our ability to independently create a groundbreaking consumption product. In only three months, using just-in-time systems, the factory achieved the maximum production capacity for Pluma.
The Pluma bottle has already received several prizes, including the IF Product Design award 2006. The prize recognises design excellence and is used by winning companies to certificate their quality, innovative approach and competitiveness.
Pluma also received the IF Seal of Design Excellence, winning the approval of a demanding international jury that evaluates exceptional quality, execution capacity, material selection, innovation, environmental protection, functionality, ergonomics, perception of use, safety, and brand equity.
In early 2006, Pluma received its third international prize: the 'Best of the Best' special prize from the red dot design award. Created in 1955 by Design Zentrum Nordrhein Westfalen to award the best international design creations, the red dot design award celebrated its 51st edition in 2006.
LPG sales have suffered through rising sales of natural gas. To help avoid this decline and create new consumption through added-value products, Galp developed new LPG-driven products in lighting and heating, namely the Hotspot heating. These products aim to enhance comfort and leisure.