Murphy Oil may close UK refinery if no buyer found
The company and its UK unit plan talks with a “small number of interested parties, which may or may not lead to allowing the refinery to continue to operate,” the company said in a statement.
By NIDAA BAKHSH and KONSTANTIN ROZHNOV
Murphy Oil may close its UK refinery
if it fails to find a new
buyer after talks collapsed with the latest candidate in a
three-year hunt for an acquirer.
The company and its UK unit plan talks with a small
number of interested parties, which may or may not lead to
allowing the refinery
to continue to
operate, the El Dorado, Arkansas-based company said in
an e-mailed statement.
The plant, with capacity to process 135,000 bpd of oil, may
be the third in the UK to close in five years as cheaper facilities
in Asia squeeze margins
fuels such as gasoline
and diesel. Murphy Oil was in advanced talks with a potential
buyer for the UK business, it said March 17.
The company entered into a period of consultation
with workers at the Milford Haven refinery in Wales, it said
Murphy Oil said in January 2012 that it may convert the site
into a storage or import terminal. A year earlier, it had
expanded the refinery from 108,000 bpd.
The UK's Coryton refinery
in the south and Teesside
plant in northern England, owned by the now-bankrupt
Petroplus Holdings, were converted to storage as no buyers
ready to continue oil-processing operations there emerged.
The possible closing of Milford Haven would leave the UK with
six crude-processing plants.