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Oct. 13 (Bloomberg) -- Repsol YPF SA, Spain’s largest oil company, said upgrades to its refineries in Cartagena and Bilbao are developing “better than planned.”
The company expects 200 million euros ($275 million) of savings compared with its budget, according to a presentation to be given to analysts today and filed earlier to regulators.
The investments, part of a 5.3 billion-euro project to modernize its downstream facilities, were planned to double refining margins in Spain, Repsol Downstream Operations Director Pedro Fernandez Frial said in July.
Repsol is aiming to turn its Spanish plants into cash cows that will finance the hunt for more oil and gas reserves. The upgrades will enable the plants to produce more diesel from cheaper blends of crude.
For related news and information: Earnings estimates matrix: REP SM <EQUITY> EM <GO> Dividend discount model: REP SM <EQUITY> DDM <GO> Management’s holdings: REP SM <EQUITY> MGHL <GO>
--Editors: Alex Devine, Baldave Singh
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