Project Risk

Project risk

is related to the possibility that a given project may fail, may be delayed, or may suffer budget overruns. As we implement various significant projects, any materialisation of project risks may adversely affect our operations and financial performance as a result of budget overruns or a project's failure to bring the expected profits or to bring such profits at the expected time. In the case of key projects, materialisation of such risks may also prevent the achievement of strategic objectives. In order to minimise these risks, we have implemented uniform project management policies across the LOTOS Group. These policies require that a risk management plan is in place for each project. Individual risks related to the given project are analysed and assessed in detail, risk mitigation measures are identified, and responsibility for their implementation is assigned to specific individuals. Implementation of each project is duly monitored and reported.