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Lords warn of Brexit threat to UK’s energy trade

Brexit puts the UK’s current frictionless trade in energy with the EU at risk. This is amongst the findings from the House of Lords’ EU Energy and Environment Sub-Committee’s report Brexit: energy security, published yesterday.

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NuStar – £25m investment at Grays

NuStar currently has approximately 8,700 miles of pipeline and 79 terminal and storage facilities that store and distribute crude oil, refined products and specialty liquids Phase 1 of NuStar’s £25 million investment at Grays has now been completed with Jetty 1 receiving its first vessel earlier this month.  Recent upgrades now enable the jetty to receive vessels of up to 125,000 GDT due to an improved draft of 12.8 M, max LOA of 244 M and unrestricted beam. The new marine loading arms and additional shipping lines will ensure efficient vessel discharge. Jetty 2 works will be completed by the end of Q1 2018. In addition, four new road loading gantries have been commissioned, with a further one to be added by the end of Q1. This will result in the terminal having 7 retail bays available, plus 5 separate commercial loading bays. “This upgrade is a strategic investment for NuStar on the Thames and it will provide significant growth potential,” said UK vice president David McLoughlin. “Independent supply in the south east of England is critical to the competitiveness of the region and our clients have been fully supportive of this investment, which will enable the terminal to receive larger cargoes at a significantly faster rate than previously possible. “Grays Terminal is also ideally located, being close to the M25, which minimises road freight rates.”nustarenergy.com

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Highlighting careers in the energy industry

In partnership with Future First, Greenergy is offering school students in years 10, 11 and 12 the chance to visit sites and talk with the company’s apprentices to find out more about working in the energy industry National education charity Future First has partnered with Greenergy to help inform state school students about the skills necessary to succeed in the energy and fuel industry. Under the scheme, Greenergy, will welcome local state school students from Years 10, 11 and 12 with an interest in maths, technology and sciences to its fuel terminals and biofuel manufacturing plants.  Greenergy will coordinate site tours, offer talks with apprentices and site management about their own career pathways and provide insight into the study routes they chose to pursue specific roles. The project forms part of Greenergy’s commitment to promote STEM  – science, technology, engineering and maths – subjects in higher education and to support young people in local communities. “At Greenergy we employ over 800 people in a range of roles; from IT professionals, engineers, graphic designers to logistics personnel and truck drivers,” said chief executive Andrew Owens. “By giving students an insight into how our business works, we hope to demonstrate the range of opportunities available in the industry.” Future First’s partnership with Greenergy, a leading supplier of road fuels and Europe’s largest manufacturer of biofuel from waste, will allow more students to see what careers are available on their doorsteps and to access the experience and advice from people who work there,” said Christine Gilbert, executive chair of Future First and a former Ofsted chief inspector. “This opportunity will help the students understand the breadth of opportunities in the sector and the skills needed for this range of jobs.  Future First believes everyone should be able to succeed in a career of their choice, regardless of their background, and the opportunities and insights gained through this partnership will help many young people make more informed choices “Students will see what a modern workplace looks like in action and will be able talk to professionals working at Greenergy. They will be able to connect personally with people whose stories and experiences bring the industry alive.  Hearing from employees in interesting jobs helps students make better informed decisions about what they need for their working life as well as develop the skills employers are looking for today.” If you know of a school that would be interested in taking part in the scheme, email Emma Fay, head of innovation and development at Future First emma.fay@futurefirst.org.uk or call 0207 239 8933.futurefirst.org.uk 

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Changes to oil regulations in Scotland

Are you compliant with the new changes made to Scotland’s oil regulations? The Scottish Environment Protection Agency (SEPA) has contacted Fuel Oil News for assistance in drawing attention to the changes that are happening in Scotland with respect to oil regulations.  With new rules now in place, if you store oil on your premises for onward distribution you will need to review the changes to make sure you are compliant.

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New aviation fuel transport and logistics agreement

Hoyer’s Allan Davison – another important step towards achieving strategic growth objectives in the aviation fuels market HOYER has confirmed that the company has entered into an agreement with BP to provide aviation fuel transport and logistics services throughout the UK. As part of the contract HOYER will take on responsibility for stock progression, scheduling, despatch and physical delivery of all aviation fuel in the UK. “This agreement with BP provides another important step for HOYER in the UK to achieve its strategic growth objectives in the aviation fuels market,” says Allan Davison, operations director at HOYER Petrolog. “The contract award also builds on the already existing relationship between the HOYER Group and BP’s fuel retail business which is one of our most important corporate customers.”www.hoyer.uk.com

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Oil theft – oil industry shows support with donation

Following the theft of 1,500 litres of heating oil from Whitehaven Respite Unit in Co Antrim, a home for children with disabilities, a call out to distributor members of the Northern Ireland Oil Federation (NIOF) resulted in Solo Direct offering to give the unit 1,000 litres of oil to help during this difficult time. With £1,000 worth of oil stolen over the Christmas period, unit workers and children were left in extremely cold conditions causing considerable disruption and upset in the local community. The theft was only discovered when staff opened the unit after the festivities.Speaking to the BBC at the time, the unit’s acting deputy manager, Linda Guthrie said: “An overnight stay had to be cancelled, causing distress to the five children who were due to visit the respite unit.  These children have a significant disability with a number having autism and it takes a lot of preparation for them to come to Whitehaven.” “This is particularly unpleasant for the staff and children at Whitehaven,” said David Blevings, OFTEC Ireland manager. “On a positive note, I was pleased that the oil industry responded generously with Solo Direct offering Whitehaven 1,000 litres of oil to demonstrate their support in this tough situation.” At Solo Direct Andrew Hutchinson told Fuel Oil News’ Irish correspondent Aine Faherty that after OFTEC made an appeal to Northern Ireland oil businesses, he felt the gesture was a chance to give something back to the community which had been outraged by the theft. “It’s just 1,000 litres of oil and one of those things I thought the business could and should do,” said Andrew. OFTEC has since reminded oil users including homeowners, farms, schools, businesses, play groups and churches to be particularly vigilant and to take precautions to protect their fuel. “During the winter when many people keep their fuel tank stocked up, they can be easy targets for thieves,” added David. “Usually it’s only when people run out of oil and their heating stops working that theft becomes apparent. Simple precautions such as making a regular note of your oil levels will help to ensure that you are not the victim of oil theft.” www.oftec.org

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Committed to the growth of the UK’s oil and gas economy

Essar Oil UK continues to invest at Stanlow and has expanded its UK retail network to 46 sites Essar Oil (UK), which owns and operates the Stanlow Refinery, has announced record figures for the first six months of the financial year ending March 31st 2018. “Essar is committed to the growth of the UK’s Oil & Gas economy – the Stanlow refinery is a core sector asset of national importance for the UK and we’re extremely happy that it has been delivering consistently robust performance,” said Prashant Ruia, Essar Oil UK’s non-executive chairman. “Since acquisition we’ve invested more than $800 million and have now started reaping the benefits of this investment.” The refinery, which produces 16% of the UK’s road transport fuel demand, processed 4.5 MMT of crude, in line with the 4.5 MMT during H1 FY17. Making good progress on its plans to invest $250 million in capex and maintenance at Stanlow in FY18, Essar Oil UK’s major investment will ramp up throughput, improve yields, drive revenues and increase annual throughput from 68 million to 75 million barrels. A focus on margin booster initiatives and cost efficiencies has seen a significant improvement in the operating and financial performance during this time. In FY15 Stanlow was reconfigured and optimised to a single train operation which increased the yield of high margin products such as gasoline and middle distillates. In addition, the crude slate has been materially diversified with the introduction of many new grades, including four new grades in the past six months. These major initiatives have resulted in a latest half yearly delta over the benchmark margin of $4.8/bbl, as against under $1/bbl in 2012.Operational and financial performance: Key Indicators

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Expanding brand presence across the UK

Harvest Energy, the retail division of the Prax Group, has acquired Retail Fuels Limited which owns and operates nine retail forecourts in the UK Completed in December, the acquisition reflects the Group’s strategic objective to expand its retail footprint and brand presence across the UK marketplace. Currently operating under the BP brand, the nine retail forecourts are principally located in the north west of England with six in Merseyside, two in Greater Manchester and one in the Midlands. Each site has a quality property offering, which following redevelopment will deliver incremental shop and forecourt revenues. “UK forecourts have become convenience destinations in many different respects,” said Sanjeev Kumar, co-founder and chief executive officer of the Prax Group. “Whether it is shopping on the way home in the evening, picking up a quality coffee or snack on the way into work, or even dropping off or collecting parcels, changes in consumer behaviour have presented strong opportunities for companies who are prepared to invest in their forecourt stores and food offerings. “This acquisition demonstrates our commitment to enhancing our existing estate in the UK and leveraging our expertise in operating high-quality service area offerings with a strong food-to-go focus, which will help attract forecourt footfall. The team will enhance the customer experience by raising standards in-store and on the forecourt services. “I would like to take this opportunity to convey our thanks and appreciation to all colleagues who supported the successful completion of this transaction, as well as extending a very warm welcome to our new forecourt teams. We look forward to working together to become one of the UK forecourt sector’s most significant operators.” www.harvestenergy.com www.prax.com

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Geos Group takes over Phillips 66’ marine gas oil deliveries at Blyth

The Port of Blyth where Philips 66 has handed over road tanker deliveries of marine gas oil to the Geos Group As Phillips 66 steps back from end-user sales in the UK locations where it stores physical stock of marine gas oil, the Geos Group (Sea Bunkering) has taken over the company’s road tanker delivery at the Port of Blyth in the north east of England The Geos Group (Sea Bunkering) owns and operates the 15 million-litre marine gas oil facility in Blyth; it already manages ex-pipe operations there, and also provides road transport delivery services from other UK ports including Aberdeen and Great Yarmouth. The company’s resources and expertise have therefore ensured that the handover from Phillips 66 of road tanker deliveries at Blyth has been very straightforward. “This new development at Blyth is a good step forward for our business”, said Adrian Proctor, commercial director of The Geos Group (Sea Bunkering). “This is in step with our overall strategy of being in control of our supply chain from refinery to vessel. Managing our own fuel storage tanks, ex-pipe operations, sea tanker movements and road transport logistics puts us firmly in control of our inventory and the level of service we offer – and ultimately gives us a competitive advantage over other marine gas oil suppliers.” The Geos Group (Sea Bunkering) is a physical supplier and international trader of marine gas oil, with stock in Aberdeen, Blyth, Great Yarmouth, Peterhead, Montrose, Heysham, Lerwick and Scalloway. From these locations the company can deliver fuel to anywhere around the UK coastline.www.geosgroup.com

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Mabanaft appoints new management team

‘With a sound and stable team of people, who work well together’, Martin and Eoin are ‘looking forward to further developing the business over the coming years’ Martin Cook, UK marketing manager and finance director, Eoin Dilworth are now jointly managing Mabanaft’s UK operation. The move follows Raphael Hüttmann’s promotion to joint head, along with Volker Ebeling, of the Mabanaft Group in Hamburg. With Raphael having been Mabanaft Limited’s acting managing director for the past five years, now is a good time for these changes to take place. With three strong years of trading, and a consistently solid P&L, Raphael has achieved his stated goal of refocusing Mabanaft Limited and achieving increased profitability through improved efficiencies in the supply chain. Martin and Eoin have worked closely with Raphael throughout. More recently, during a transitional period, they have also been fulfilling management responsibilities, so the whole process will be seamless. Martin has been with Mabanaft for nine years, four of these as marketing manager. He has an in-depth understanding of the fuel industry, a clear and focused approach to business and excellent management skills, and is looking forward to the opportunities that this new role brings. Mabanaft’s sales, supply and operations teams will report to Martin. Eoin, a highly qualified accountant with twenty years’ experience, has worked as finance director for Mabanaft Limited for five years. He has been involved in all aspects of the business and played a significant role in helping increase profits and reduce costs as well as business exposure. The finance, risk and IT support teams report to Eoin. “Replacing my role has been remarkably straightforward,” said Raphael. “Mabanaft always looks to retain skill and re-deploy staff within the group, so appointing Martin and Eoin as joint managing directors made perfect sense. “Looking ahead, as joint head of the Mabanaft Group I will be available to provide support to the UK operation whenever required.” “Eoin and I are both delighted and excited to be taking over joint management of Mabanaft Limited, said Martin “We have a sound and stable team of people, who work well together, and are looking forward to further developing the business over the coming years.”www.mabalive.co.uk/news
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