Market & Supply 38
This new aviation fuel transport contract is ‘a further progression in HOYER’S business relationship with World Fuel Services’ says Allan Davidson
HOYER Petrolog has signed an agreement with World Fuel Services to provide aviation fuel transport in Scotland. As part of the agreement HOYER will deliver fuel to Edinburgh, Glasgow, Aberdeen, and Newcastle Airports from the Grangemouth oil terminal.
The agreement will add approximately 13 drivers, four vehicles and £1.5m annual turnover to HOYER Petrolog in the UK.
“This new agreement represents a further progression in our business relationship with World Fuel Services, a growing fuels provider in the UK,” says Allan Davison, operations director, HOYER Petrolog.
The new agreement is set to commence on 1st May 2018.www.hoyer.uk.com
Marking the start of the partnership – Olly Dale, commercial director at Liverpool FC and Tony Weatherill, managing director of global marketing, research and development at Petro-Canada Lubricants
In a three-year deal made earlier this month, Liverpool FC announced Petro-Canada Lubricants Inc (PCLI) as a global partner.
“We’re delighted to welcome Petro-Canada Lubricants as an official partner of Liverpool FC,” said Billy Hogan, managing director and chief commercial officer.
“To partner with a global business that shares LFC’s values of ambition and commitment is incredibly exciting for the Club. We look forward to working with PCLI to create unique and exciting programs which will help us engage with our fans and their customers around the world.”
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
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
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.
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
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
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
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
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
‘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
Robert Stephen White (56) and Paul White (36), who defrauded their customers by charging them for more fuel than was actually delivered, were both sentenced at Downpatrick Crown Court for Fraud by False Representation between Jan 1st 2009 – Jan 1st 2014 and Acquiring Criminal Property between Jan 1st 2009 – Jan 1st 2014.
Pictured with Certas Energy managing director, Steve Taylor, (l) is the 2017 winner Darren Gilham who spotted an unconscious lady in a car whilst he was out delivering. His quick thinking ensured the lady, who suffered from diabetes, made a full recovery.
The Federation of Petroleum Suppliers (FPS) is seeking drivers who have gone the extra mile for their customers, or who have done something way beyond their normal duties.
Sponsored by OAMPS Hazardous Industries the prestigious FPS driver of the year award carries a £1000 winner’s prize and two runner-up prizes of £250 each.
“If the standard of last year’s entries was anything to go by, we’re going to have a hard task to decide on the winner for this year’s awards,” said Dawn Dawn Shakespeare, FPS marketing and events manager.
Last year’s winner was Darren Gilham from Certas Energy’s Ashford depot with Chris Brooks of NWF/Evesons Fuels, Kenilworth depot and Clifford Tappin of Lovell Fuels as runners up.
“These awards recognise the high standards being set by drivers in the UK and Ireland and we hope the awards will continue to encourage oil distributors to promote an ethos of safe driving, cleaner deliveries and outstanding customer care to create more drivers capable of winning this award.
FPS member companies are invited to submit nominations for drivers who have been employed by the company since the start of 2017. The competition is also limited to one entry per depot. In addition, the nominated driver must have had an incident free year (no accidents or spillages) in 2017.
The closing date for entries is 1st March 2018 and each shortlisted candidate will be interviewed in March 2018 with the winner being announced in April 2018.
Nomination forms for the driver of the year award 2018 and further information are available via by emailing ds@fpsonline.co.uk.
Commercial customers in the south east of England will soon be benefiting from an enhanced supply position thanks to Valero’s long-term agreement with NuStar to supply fuel from their Grays terminal on the Thames.
From February 2018, Valero will expand its range of products to include gasoline, thereby providing a full suite of products to its customers at the Nustar Grays terminal.
“By moving to NuStar we’re consolidating our position on the Thames into a single location,” said Mike Lewis, Valero’s vice president product supply.
“And by signing a long-term agreement we’re reinforcing our commitment to our customers and to delivering a reliable service.
“Since moving into the Thames market in 2014 we’ve seen considerable growth, and we’re now building on that position. We will continue to show our flexibility by offering fixed, floating, spot and term pricing. This will be backed up by our experienced and dedicated sales team who can respond quickly and professionally to meet our customers’ needs.
“For our existing customers, the changeover will be seamless, while new customers can be guaranteed to receive a reliable service and quality product, helping them remain competitive in a dynamic market.”
www.valero.com
Having acquired the 450,000 barrels per day Forties Pipeline System (FPS) on 31st October, INEOS discovered a small hairline crack in the pipe at Red Moss near Netherley, just south of Aberdeen during a recent routine inspection.
On Monday (18th) INEOS said that the pipeline was still undergoing assessment with there being a possible two to four weeks before it will be operational again. In addition to carrying crude oil, FPS is also carries around a third of the UK’s offshore natural gas output.
A repair and oil spill response team was mobilised in early December after a very small amount of oil seepage was reported. Measures to contain the seepage were put in place, no oil has been detected entering the environment and the pipe has been continuously monitored.
A 300-metre cordon was set-up and a small number of local residents were placed in temporary accommodation as precautionary measure. The pipeline pressure was reduced while a full assessment of the situation was made.
Despite reducing the pressure, the crack extended, and as a consequence the Incident Management Team decided that a controlled shutdown of the pipeline was the safest way to proceed.
This will allow for a suitable repair method to be worked up based on the latest inspection data, while reducing the risk of injury to staff and the environment.
As always, safety remains our top priority and local residents, FPS users and other stakeholders are all being kept fully informed of the situation as it develops.
www.ineos.com
A group of young oil industry ambassadors met with the All Party Parliamentary Group on the UK Oil Refining Sector to discuss the future of the industry
In partnership with UKPIA, the All Party Parliamentary Group on the UK Oil Refining Sector welcomed a group of young oil industry ambassadors from across the country earlier this month. The ambassadors were there to discuss the future of industry within the wider context of a new industrial strategy for the UK.
Looking ahead, the downstream oil sector is expected to continue powering the UK’s energy needs and mobility for many more years to come and will require the ingenuity, innovation and interest of the next generation of talent.
This event was a unique opportunity to hear from the young people behind the UK’s downstream oil sector and to increase awareness of future career opportunities to encourage more young talent to choose science, technology, engineering and maths (STEM) subjects to drive innovation and energise the UK’s future.
The event was chaired by the Martin Vickers MP, chair of the All Party Parliamentary Group on the UK Oil Refining Sector, and led by an expert panel made up of professor Isobel Pollock-Hulf OBE, visiting professor, engineering and design, University of Leeds and Tony Burke, assistant general secretary, Unite the Union.
“This Future of the Industry event represented an important opportunity to highlight the use of science, technology and innovation in our business and to explore the exciting careers that are on offer for young people in the UK’s downstream oil sector,” said Stephen Marcos Jones, UKPIA’s director-general.
“I would like to thank the Group and all parliamentarians in attendance for giving us this platform to discuss the talent and skills necessary to fulfil tomorrow’s needs.”
“This event presented an ideal and timely opportunity to hear from the young people behind the downstream oil industry,” added Martin Vickers.
“Equipping our young talent with the right skills for the future will be essential to meet current and future skills shortages in this important sector.” www.ukpia.com
Last week National Grid announced that over 9,000 homes ranging from island cottages on Orkney to terraced houses in London are set to benefit from the first payments from its new £150m Warm Homes Fund.
The fund was set up using part of the proceeds from the sale of the company’s majority stake in its gas distribution business. It will fund the installation of affordable heating solutions in fuel poor households which don’t use mains gas as their primary source of heat.
The £150m from National Grid comes on top of the £589m already being returned to consumers on a voluntary basis by the company, bringing the total announced this year to £739m.
Following the first round of bidding, a total of £33m is now being awarded to 35 local authorities and social landlords representing partnerships across England, Scotland and Wales.
The money will be used to provide new heating systems for homes and will also fund programmes to help people with health conditions living in fuel poor households.
“Around 4.5 million households across the country are in fuel poverty,” said John Pettigrew, chief executive of National Grid.
“The aim of our new fund is threefold; to help to reduce bills, make fuel poor households warmer, and improve the health of people suffering the most severe levels of fuel poverty.
“The Warm Homes Fund was launched in late spring 2017 and provides financial support for the installation of affordable heating solutions in many thousands of fuel poor households which don’t use mains gas as their primary source of energy.”
The £150m is being awarded through three rounds of funding. Bids are now being invited for the second round of funding from local authorities and registered social landlords.
For more details and a list of the successful first round bidders go to www.affordablewarmthsolutions.org.uk
Winners Ashleigh and Karl are congratulated by Mark Richardson of the Gulf Bolden Lane service station at South Shields
When Karl Esther and his fiancée Ashleigh Riddell stopped to fill up at Gulf’s Boldon Lane Service Station in South Shields, little did they know that they were also driving into the holiday of a lifetime.
The happy couple will now embark on a Los Angeles Car-Crazy Adventure as the winners of Gulf’s Cars 3 forecourt promotion, which was launched nationwide over the summer in conjunction with Disney Pixar and its animated sequel film, Cars3. The competition ran in tandem with the theatrical opening of Cars 3, which follows the ongoing adventures of the legendary Lightning McQueen. The prize includes flights, transfers, four nights at the 4-star Loews Santa Monica Beach Hotel, Cadillac car tour, LA go pass, speedway go-kart racing, a trip on the iconic Santa Monica ferris wheel, free entry to the Petersen Car Museum and spending money. Cars 3 banners featured on participating Gulf service stations across the UK throughout the promotion, with runners up prizes including 5 Disney Store VIP experiences with £200 to spend, plus hundreds of items of Cars 3 merchandise as spot prizes.
Adrian Hill with Eric the Turkey and Erica
Morris Lubricants is once again entertaining the ‘growing army of Eric the Turkey fans’ with an annual festive episode about the adventurous bird – and this year there’s another beak to feed….
Eric is the creation of automotive products manager Adrian Hill, who has composed catchy Christmas songs and videos about the escapee turkey for the past five festive seasons. His mission is to add some much-needed humour to the Christmas celebrations.
Eric’s latest adventure, Eric the Turkey’s Christmas Nativity, has caused a few feathers to flutter and already has a good following on YouTube – https://youtu.be/qPYgFRR6Jls – and Adrian’s family, friends and workmates love the video.
This year, Eric and his partner, Erica, go to the city to visit friends and get snowed in. They are forced to look for somewhere to stay and find a Premier Inn where a precious parcel – an egg – hatches on Christmas Eve. Baby Eric is born.
Adrian hit on the idea of an avian-themed nativity story soon after completing last year’s video and is already thinking about Eric’s next adventure.
“People like this year’s video because it’s a proper Christmas theme with a happy ending,” explained Adrian.
“It’s a joyous occasion because there is a new member of Eric’s family.
“What I am going to do after Christmas is run a competition to name the baby turkey and the prize will be a specially designed Eric the Turkey T-shirt.
In a break with tradition, Eric even went on a summer holiday with Adrian and his family this year, which was the theme of another video. Taking Eric abroad together with inflatable pink flamingos to make the ‘Eric’s Summer Party’ video caused more than a few strange looks at the beach.
Fuel Oil News celebrated its 40th anniversary at the Chris Beetles Gallery at St James’s in London on Thursday 16th November.We were delighted to welcome readers and advertisers to the event, which also saw the launch of the new Fuel Oil News interactive storage & terminals map.
Now part of the Rix Petroleum Group, managing director Duncan Lambert beside a Stones Fuel Oils tanker
A ‘much-loved family fuel company’ at Malton in North Yorkshire has been sold to Rix Petroleum. Started by his father, Stones Fuel Oils has been owned and run by Geoff Stones for more than 50 years. Now aged 74, Geoff has decided to retire.
Geoff agreed to sell the business to Rix Petroleum because, as another local, family company, he was confident they would uphold the values which Stones Fuel Oils was built on.
“I have run Stones Fuel Oils – initially with my father – for about fifty years now, and it seems the right time to step back and take life a little more steadily,” said Geoff.
“After much thought, I have decided to sell the fuel oil side of the operation to Rix Petroleum, another family-owned and locally-based business. I am confident that they will maintain the high standard of customer service that we have aimed to give, and will offer competitive prices.”
The move extends Rix Petroleum’s coverage further into North Yorkshire, enabling the company to service not just Malton and surrounding areas, but as far north as Whitby and west to Northallerton and Ripon.
All Stones Fuel Oils staff, including tanker drivers and office workers, have been retained by Rix Petroleum, and another tanker is to be stationed at the depot, bringing the fleet to three.
Duncan Lambert, managing director of Rix Petroleum, described Stones Fuel Oils as the ‘perfect fit’ for Rix as both businesses had much in common.
“Stones Fuel Oils is a fantastic and well-run family business that has a very loyal customer base. It is a credit to Geoff and his father that it is held in such high regard.
“Like Rix, Stones Fuel Oils has built its reputation on true family values of fairness and offering a quality, personal service. Those values form the core of Rix Petroleum too and we fully intend to honour them at our new Malton depot.”www.rix.co.uk