Latest

Interview

A proud tanker driver

Alex Longman is a man with a real fiery passion for tanker driving, Fuel Oil News deputy editor, Liz Boardman went to Dragon Petroleum to meet him.

Insight

The case for a UK CSO agency

With the exception of Italy and partially Sweden, the UK is almost unique among EU members in operating a compulsory oil stock holding system in which responsibility for compliance and management of the country’s Compulsory Stock Obligation (CSO) rests entirely with participants in the oil market – refiners/ex refiners and importers/wholesalers.

Opinion

“Are your drivers ready for Driver CPC?”

As the 10th September deadline looms, the race is on for operators to ensure drivers have completed the required 35 hours of Driver CPC training According to figures issued by the Driver and Vehicle Standards Agency earlier this year of the 750,000 HGV and PCV drivers on its training database just under 707,000 had engaged with the Driver CPC. Although the scheme was introduced nearly five years ago, there are fears that there will be a shortfall of drivers in September once the deadline has passed. The Freight Transport Association (FTA) is offering training courses throughout August. “The clear message from FTA to anyone who hasn’t completed their Driver CPC training yet is – it’s not too late,” says June Powell, director of compliance management. “We’re ready and able to support and work with operators to ensure that they beat the September Driver CPC deadline.” Ensuring compliance “Since the conception of Driver CPC and the Petroleum Driver Passport (PDP), Certas Energy’s dedicated training team has approached the programme requirements effectively to ensure full compliance and integration, whilst minimising disruption to our business,” says national training manager, Paul Starns. “We have six dedicated training managers and 82 practical driver trainers who follow a planned training structure throughout the year.  Despite our careful planning, we do not believe in a tick box approach to Driver CPC and PDP. We currently have five Driver CPC/PDP courses so our drivers do not sit the same course each year.  We do, of course, complete other training for our drivers outside of compliance related training. The training is being very well received by our drivers, with the combined theoretical/practical training providing a thorough and comprehensive training plan. “Certas Energy has a very effective safety first programme backed by the board, the main aim of this is to minimise the risk of any potential incidents through the professional and proactive delivery of our training programmes. The Driver CPC and PDP complement our bespoke safety first programme, ensuring the safety of our drivers and our wider community.” “We bit the Driver CPC bullet right away as we’re fortunate enough to have an excellent local training organisation,” said Kevin Bennetts, managing director of Consols Oils.  “We were fully up to speed in late 2013. “However, Driver CPC is yet another costly imposition that impacts on the bottom line of every truck operator forced to embrace and adapt to it. “When compared with general haulage, the fuel distribution industry undoubtedly has a unique set of training requirements. This creates a need for very high calibre staff capable of thinking for themselves when loading, transporting fuel and dealing with customers in a safe responsible manner.” Petroleum Driver Passport – a step too far? “What really gets my back up is the recently introduced Petroleum Driver Passport scheme,” Kevin added.  “On the face of it, it’s a worthwhile series of practical assessments but still an imposition too far which we’re forced to embrace because we load out of third party terminals. “To ensure ongoing safety and productivity, I’ve no problem with structured training that produces highly skilled staff and ensures periodic skills updates. I do however have a problem when it involves obtaining three different pieces of paper at different times in order to get into the cab of a tanker. “In my view the whole lot could be accomplished in one well-structured industry specific course that engages and motivates the trainees rather than making them demoralised and reluctant attendees. This could be structured around four days of theory and one day of practical assessments to obtain the initial combined certificate with an annual two-day refresher. This would demonstrate a welcome bit of joined up thinking for a change. “One is actually left wondering whether the interests of training organisations have actually become paramount to the financial wellbeing of their clients… “Even if an integrated industry specific training course took longer to accomplish initially, it could still involve less time and expense, produce more rounded trainees and be easier to plan around while hopefully giving the trainees a little more status in the process. “Why oh why is there such a fascination with making our lives harder and more complicated by constantly adding to the increasingly worrying burden of costs that are effectively beyond our control?” PDP to fill ADR gap Downstream Oil Distribution Forum (DODF) chair Brian Worrall, responded to: “The point about one consolidated training requirement is a good one but would require legislative change as ADR and its scope are defined in law and we cannot change the scope of ADR without going through a long process involving European as well as national consultation. The advice from the UK regulator, given the UK Government Better Regulation policy (which aims to reduce legislation) was that a voluntary scheme was the only way to introduce further petroleum tanker driver training. “We’ve designed the scheme to fit as best we can with existing ADR and CPC requirements.  One of our aims is to minimise duplication, saving time and expense.  Therefore employers have the flexibility to run ADR and PDP training as one training package if that’s more convenient, or separately. “However the fact remains that neither from a classroom and especially from a practical standpoint, as demonstrated by the DODF-developed Petroleum Tanker Training Standard, which has wide industry, trade body and union representation, the current ADR scope does not cover all that a petroleum tanker driver should both know and be able to demonstrate and this is the gap filled by PDP.”

News

Durapipe launches PLX Blue

Durapipe UK is expanding PLX, its specialist fuel conveyance pipework system, with the launch of PLX Blue, a plastic pipework system specifically designed to transport AdBlue/DEF in refuelling applications.

News

Simon provides specialist storage and water separation services

Specialist water separation services from Simon Storage Simon Storage has successfully provided specialist storage and water separation services at its Immingham East Terminal on behalf of Hydrodec (UK) Ltd. The contract with Hydrodec, which trades as the OSS Group in the UK, involved around 11,000 tonnes of saline water containing oil residues from shipping operations. Having already undergone an initial oil skimming process, the product was re-sampled by Simon on arrival at the terminal to ensure it satisfied the adequate specification for water separation and disposal via Simon’s on-site water treatment facilities. Received by sea into the terminal, the “ship slops” were stored in a number of specially configured tanks totalling nearly 20,000m3. After a settling period to allow for natural in-tank separation of oil and water, the water was drawn off for disposal through Simon’s water treatment facilities. Oil residues left in the tank were collected by OSS, using vacuum tankers, for recycling at its Stourport-on-Severn processing plant. Simon’s Immingham East Terminal is permitted to carry out water separation activities and recovery of separated hazardous and non-hazardous waste products from industry and commerce. Simon’s investment in its own water treatment plant at the terminal provides the capability for disposal of separated waste water derived from a wide range of permitted EWC (European Waste Catalogue) codes. In the face of finite global oil supplies, the market for collecting and recycling waste oil from sources such as the maritime and automotive industries is growing, explains Rachel Lewin, marketing executive at Simon Storage. “This rapidly developing market is increasing requirements for suitable storage, treatment and disposal in the UK and mainland Europe,” she says.www.SimonStorage.com

News

New filter technology offers “unrivalled performance”

Filtertechnik has launched Filtasorb 2 which, says the company, can hold twice the volume of water than the previous version and three times as much as its nearest competitor. Nottingham-based Filtertechnik, specialists in filtration technology and clean-up systems for fuel, biodiesel, oil, and process fluids, claims that Filtasorb 2 gives “unrivalled performance” even at low flow rates of 200 litres per minute. The filter media has been developed by the company in the UK where it is also manufactured. “In recent trials Filtasorb 2 set a new benchmark in the removal of water through absorption,” says Filtertechnik. “It’s highly effective, even in a single pass through the media, at low and high flow rates. Using diesel at a flow rate of 150 l/min Filtasorb 2 removed 6kg of free and absorbed water per minute bringing the water content to under 100ppm in a single pass from an initial level of over 44,000ppm.” www.filtertechnik.co.uk

News

Cheaper heating bills for oil households

Latest figures show that oil continues to be the only primary heating fuel to have fallen in price over the past three years, making it the cheapest option for off gas grid homes. According to the Sutherland Tables, a recognised source of data on comparative UK domestic heating prices, the current annual cost of using oil to heat a three bedroom home in Great Britain is now 10.1% lower than the average cost reported over the last three years. The same average figures for homes using electricity and LPG – the other main heating fuels used by off gas grid homes – show an increase in heating costs of 23.9% and 2.2% respectively with LPG, used by some 170,000 off mains gas properties, remaining substantially more expensive than oil. The cost of heating a three bedroom home with a condensing boiler on LPG is £1,924 per annum – £734 more expensive than oil at £1,190 per annum. According to a new report from DECC published last month, the downward trend in oil prices is set to continue over the next two years with wholesale prices forecast to fall 11.9% by 2016. In contrast, gas prices are predicted to rise by 14.5% over the same period. Jeremy Hawksley, director general of OFTEC, said: “This is further positive news for oil households which have continued to benefit from relatively consistent heating costs over the past three years.”

News

Market intelligence – FREE trial offer

The Oil Market Journal (OMJ) has expanded rapidly from its origins in 1999 when its aim was to provide large volume oil buyers with reliable Rotterdam spot market trading assessments. Today it offers a broad range of oil and foreign exchange prices, news and analysis via a plethora of innovative systems. Fuel Oil News readers are now invited to experience OMJ for themselves with a special FREE trial offer. OMJ is managed by a team of experienced oil and technology professionals and has a proven track record in combining accurate market analysis with reliable intraday price assessments and cutting edge technologies. It is a Platts licensed distributor for UKI, a Dow Jones partner, and a licensed vendor of Financial Times forex prices and ICE Futures Europe oil prices. Key services include real time intraday prices for Rotterdam cargoes of refined products, live and delayed London and New York futures prices, closing Platts prices in a range of currency/units, along with live and settlement foreign exchange prices. OMJ also provides focused news, comment and analysis on what is driving prices and moving markets along with 24 hour Dow Jones energy news. For a free trial of OMJ, go to: www.the-omj.com/fueloilnews  For details of other companies offering market intelligence and pricing information, please see the market intelligence feature on pages 23-24 in the October issue of Fuel Oil News.

News

Total – committed to better energy

Total launched its new international multimedia advertising campaign simultaneously in 21 countries at the beginning of October. The campaign highlights Total’s operations in oil production, refining and marketing, as well as its role as a major player in natural gas – 50% of its output – and as the global number two in solar power, through its subsidiary SunPower. “This large-scale campaign is the first of its kind in Total’s history. It reflects both our size and our ambitions,” explains Jacques-Emmanuel Saulnier, Total’s senior vice president, corporate communications. Philippe Guys, managing director, Total Exploration and Production UK, commented: “Total is a leading global energy company. It needs a powerful brand over the long term to support the growth of its businesses. Our commitment is to continuously improve, working with and for our stakeholders. This isn’t just a promise, it is an everyday reality for Total’s 100,000 employees.” The “Committed to Better Energy” campaign includes a television commercial filmed at Total sites around the world that will appear on nearly 80 different channels. In addition, more than 230 publications will carry advertisements featuring Total employees. Displays will be visible in 15 international airports, on the web and on social networks. In all, the campaign is targeted to reach a potential audience of more than 450 million people.

News

Acquisition makes Motor Fuel Group the 2nd largest operator

The UK retail business of Murco Petroleum Ltd – a subsidiary of Murphy Petroleum Ltd – has been acquired by institutional investors, Patron Capital Partners. The business was acquired via Motor Fuel Group, the UK forecourt business owned by Patron in partnership with Alasdair Locke, for an undisclosed sum. It consists of a portfolio of 228 owned and operated forecourt sites, together with contracts to supply fuel to a further 226 sites owned and operated by third parties. The acquisition represents Patron’s most significant investment to date in the UK forecourt retailing sector, following the acquisition of Motor Fuel Group in 2011, a portfolio of Shell stations in 2012 and a group of 53 freehold forecourts let on long leases to Murco in 2013. As a result of the Murco acquisition, Motor Fuel Group is now the second-largest independent petrol filling station operator in the UK. Stephen Green, senior partner at Patron Capital, commented: “This transaction is a rare opportunity to acquire a substantial and strongly performing business as part of our strategy to build Motor Fuel Group into one of the UK forecourt sector’s most significant operators. We would like to thank Murco, the Motor Fuel Group team and our respective professional teams for their support in executing this transaction so quickly.”

News

INEOS – plant acquisition and joint safety initiative

The combined heat and power plant at Grangemouth INEOS Industries Holdings has agreed to acquire the combined heat and power plant (CHP) that serves the Grangemouth site for £54 million. The natural gas-fired plant is currently owned and operated by Fortum. The acquisition complements the current £300 million infrastructure project at the site to import and store ethane, an essential raw material for the petrochemical plant. Following a butane gas leak at the INEOS plant at Grangemouth at the end of September, the Unite union has called for the company to work with the union’s safety representatives to help prevent future incidents. INEOS confirmed that a leak of butane gas had been detected but stressed that the incident had been quickly and safely contained. As a precaution, police closed a local road and schools were told to keep children indoors with windows closed. “Grangemouth is Scotland’s premier industrial site so it is vital that the workforce, the local community and the contractors can have every confidence that it is being run with maximum emphasis on safety,” said Pat Rafferty, Scottish secretary of Unite.

News

Geneva hosts first Oil Trading Risks summit

Conference organiser, International Research Networks (IRN) is holding its inaugural Oil Trading Risks Summit in Geneva on October 22/23. “With oil being such a volatile, political and essential commodity, managing the risks related to its trading has become a very important part of the oil trading companies’ strategy to maintain their profits,” says IRN. “This high level meeting will gather heads of trading, risk managers, and financial managers from oil trading companies, refineries as well as transportation companies, including aviation.” Topics to be discussed by high-profile speakers from such companies as Repsol, Cargill, Turkish Airlines, Irving Oil and Oryx Energies, will include market risk, credit risk, regulatory risk, political risk and financial risk. More information is available about the summit at: www.oiltradingrisks.com

News

Gulf Aviation – a breath of Fresh Air

Gulf Aviation has added private jet and helicopter provider, Fresh Air, to its portfolio of aviation contracts. Gulf – the aviation brand of national fuel and lubricant supplier Certas Energy – will offer refuelling support to Fresh Air which specialises in providing helicopter and jet charter services at a variety of high profile festivals, sports tournaments and corporate events. Gulf Aviation, which has been supplying the UK aviation market for more than five years, is headed up by Alex Murphy. Commenting on the contract win, he said: “Since Gulf Aviation’s inception in 2009, the company has been servicing smaller private and business airfields and flying clubs, as well as regional airports and supplying fuel direct to airlines. “This latest contract with Fresh Air is a significant win for us, extending our work with specialist aviation services and enabling us to showcase the benefits of working with a supplier with extensive experience of the aviation industry.” www.gulfaviation.co.uk 

News

Big names at Essar’s literature festival

Adventurer Ranulph Fiennes, former Sex Pistol John Lydon, politician Paddy Ashdown and actress and writer Sheila Hancock are some of the big names appearing in the Essar Chester Literature Festival 2014 line up. Running from Friday, October 10th to Sunday, October 26th, this will be the third consecutive year that Essar Oil (UK) has sponsored the festival. Chester Performs has a programme of more than 40 events for this year’s festival. Paul Lavin, festival manager, said: “This is another programme that we believe offers something to suit all tastes. The festival has a really good audience and we look forward to welcoming them back for another year.” Ian Cotton, head of communications and community for Essar Oil (UK) Ltd, said: “We are delighted to be sponsoring the festival once again. It’s a highlight not only in the Chester arts calendar but across our entire region. This year’s line-up offers something for everyone and we’re looking forward to seeing our local communities getting involved.” The festival programme and ticket booking information is available online at: www.chesterliteraturefestival.co.uk

News

Simon provides specialist storage and water separation services

Specialist water separation services from Simon Storage Simon Storage has successfully provided specialist storage and water separation services at its Immingham East Terminal on behalf of Hydrodec (UK) Ltd. The contract with Hydrodec, which trades as the OSS Group in the UK, involved around 11,000 tonnes of saline water containing oil residues from shipping operations. Having already undergone an initial oil skimming process, the product was re-sampled by Simon on arrival at the terminal to ensure it satisfied the adequate specification for water separation and disposal via Simon’s on-site water treatment facilities. Received by sea into the terminal, the “ship slops” were stored in a number of specially configured tanks totalling nearly 20,000m3. After a settling period to allow for natural in-tank separation of oil and water, the water was drawn off for disposal through Simon’s water treatment facilities. Oil residues left in the tank were collected by OSS, using vacuum tankers, for recycling at its Stourport-on-Severn processing plant. Simon’s Immingham East Terminal is permitted to carry out water separation activities and recovery of separated hazardous and non-hazardous waste products from industry and commerce. Simon’s investment in its own water treatment plant at the terminal provides the capability for disposal of separated waste water derived from a wide range of permitted EWC (European Waste Catalogue) codes. In the face of finite global oil supplies, the market for collecting and recycling waste oil from sources such as the maritime and automotive industries is growing, explains Rachel Lewin, marketing executive at Simon Storage. “This rapidly developing market is increasing requirements for suitable storage, treatment and disposal in the UK and mainland Europe,” she says. “With a long history of handling bulk liquid wastes under permit and its own water separation facilities at Immingham, Simon has achieved significant business success in this demanding sector and is ideally placed to maximise emerging opportunities.” www.SimonStorage.com

News

Durapipe launches PLX Blue

PLX Blue from Durapipe UK Durapipe UK is expanding PLX, its specialist fuel conveyance pipework system, with the launch of PLX Blue, a plastic pipework system specifically designed to transport AdBlue/DEF in refuelling applications. As AdBlue is becoming more widely used within diesel fuelled vehicles, PLX Blue enhances Durapipe’s existing range, providing a solution to convey AdBlue/DEF from tank to pump. Suitable for a variety of applications and manufactured from a high grade robust polyethylene, PLX Blue can carry AdBlue/DEF without fear of the additive leaking into the environment. The product’s durable properties also provide a design life of more than 30 years, with little maintenance required during its lifetime. PLX Blue is available in sizes from 32mm to 63mm, in both single wall and dual contained options. The pipework is lightweight in nature and allows for a simple installation process using an electro-fusion jointing system. David Naylor, brand manager for PLX, comments:  “The addition of PLX Blue to the range means that Durapipe UK can now fulfil all pipework requirements of a refuelling system, providing a one-stop solution for contractors and suppliers looking for a complete portfolio of pipework products.”www.plxpipe.com