Petroplus Coryton refinery 'needs deal by mid-May or risks closure'

25 April 2012 16:07  [Source: ICIS news]

LONDON (ICIS)--Petroplus’s refinery in Coryton in the UK is at “real risk” of closure if a deal is not agreed by mid-May, the company’s administrator said on Wednesday.

PricewaterhouseCoopers (PwC) received bids for the refinery – which is located 28 miles (48km) from central London in Essex – on 2 April and said a deal could involve refinancing, a sale or an extension of its tolling agreement. 

PwC partner Steven Pearson, the joint administrator, said: “If we don’t do a deal by mid-May there is a very real risk that the refinery will be closed.”

In February, PwC signed a tolling agreement involving a collaboration of investment firms, including Morgan Stanley Capital Group Inc and AtlasInvest.

Under the tolling agreement, crude oil has been delivered to the 220,000 bbl/day refinery for processing for an initial period of three months, which ends in May.

In March, Petroplus administrators in Belgium agreed to sell the company’s 107,500 bbl/day refinery in Antwerp to oil trader Gunvor.

Petroplus said in January it was to file for insolvency, after lenders froze about $1bn (€760m) in credit lines in December 2011.

($1 = €0.76)


By: Leigh Stringer
+44 208 652 3214



AddThis Social Bookmark Button

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly

ICIS news FREE TRIAL
Get access to breaking chemical news as it happens.
ICIS Global Petrochemical Index (IPEX)
ICIS Global Petrochemical Index (IPEX). Download the free tabular data and a chart of the historical index