Member Article

Refinery to be turned into import depot

Administrators from the UK’s largest oil refinery have confirmed they have been unable to find a buyer to keep the plant open.

Earlier this month, Bdaily reported that Coryton oil refinery had announced around 150 employees were about to lose their jobs with more redundancies set to be announced next month.

Yesterday evening, Administrators PricewatherhouseCoopers (PwC) announced that they have been unable to find a buyer for the oil refinery and that the site, which currently supplies around 20% of fuel for London and South East England will be closed and used as an import terminal for petrol and diesel.

The last five months have seen administrators explore a variety of options in an attempt to keep the plant going in its current capacity but, with an agreement for the sale of the majority of the assets at the Coryton site announced it would seem that administrators have given up hope.

Assets have been sold as part of a joint venture consisting of Royal Vopak who deal in independent bulk liquid storage terminals, providers of road fuel Greenergy and energy and petrochemicals company Shell UK Limited.

Steven Pearson, Joint Administrator and partner at PwC, said: “It is regretful that there were no credible offers for the business at Coryton as a going concern as it has been necessary to cease refining and make employees redundant.

“Ultimately, the Administrators have a legal responsibility to achieve the best price possible for the assets and we have been able to obtain the highest price by selling the site for an alternative use.”

Minister of State Charles Hendry released a statement in which he stressed that the closure of Coryton Oil Refinery is sad news for the workers of the plant.

In his statement, Charles Hendry said: “We are doing everything we can to help these skilled people to find new posts, and are working with the Thurrock Council task force, local agencies and Jobcentre Plus to ensure they get the support they need at this difficult time.”

This was posted in Bdaily's Members' News section by Francesca Dent .