Like driving on the left, the UK is pretty much on its own when it comes to using kerosene as a heating oil Picking kerosene in the UK because of its suitability for vaporising burners, most of Europe opted for gas oil because it was cheaper than kerosene and meant there was no need to steal fuel from the more valuable aviation market. With 44% of our kerosene now imported from the Middle East, Asia, Russia and South America, quality is variable reported Julia Mansfield at the Fuel Oil News Distributor Debate earlier this year. Julia, a chemist with 19 years experience in fuel and fuel additives, understands fuel. In her capacity as technical business development manager at Fuel Additive Science Technologies (FAST), last year she tested over 200 fuel samples sent in by customers. Thirty-one percent of the samples tested were kerosene; 41% of which were found to have no problem with the fuel.  Of the remaining figure, two thirds had produced coking problems in AGAs or similar cookers, 25% had housekeeping issues whilst 18% had intrinsic problems within the fuel.

New head of national accounts, Franco Moller Certas Energy has appointed Franco Moller as its new head of national accounts. Franco brings a wealth of experience in the transport and logistics industry, having previously worked for rail services provider, DB Schenke. Based at Certas Energy’s Birchwood office, Franco will spearhead the national accounts plan focusing on securing new contracts, developing the customer base and further establishing the company as a key player in the industry. Managing director, Paul Vian commented: “Franco’s strong professional background and relevant experience of both the transport and logistics sectors makes him a valuable addition to our team. “He joins us at the start of an exciting period of business growth, as our National Accounts team and the wider business go from strength to strength. As a senior business manager, Franco will be integral to promoting our company values and safety first culture.” Franco added: “Customer service excellence is central to Certas Energy’s approach and I look forward to bringing this to life by working closely with the national accounts team to execute the businesses’ growth plans successfully.”www.certasenergy.co.uk

The Freight Transport Association’s (FTA) Transport Manager series of conferences has become a must attend event for all transport managers across the country, providing the latest information, guidance and best practice advice on forthcoming legislation and enforcement changes. At the 2014 series of events, sponsored by Goodyear and Volvo, delegates will hear from the Driver and Vehicle Standards Agency (DVSA) and the Traffic Commissioner. The DVSA will be unveiling its systems approach to recognising individual operator culture and its attitude to compliance, outlining enforcement priorities for the coming year, discussing how the Agency is working in partnership with industry and providing an insight into the future enforcement of the seriously non-compliant. The Highways Agency will be on hand to discuss pressures on the strategic road network and how it deals with challenges such as minimising the impact of road closures. Other key sessions will include presentations on Trucks of the Future and understanding the new Guide to Maintaining Roadworthiness The Transport Manager series will be on the road throughout the UK from September to December 2014: Wednesday 10 September – Brands Hatch Wednesday 17 September – Durham Wednesday 24 September – Warrington Wednesday 1 October – Leeds Wednesday 8 October – Taunton Wednesday 15 October – Huntingdon Wednesday 22 October – Chepstow Wednesday 29 October – Dunblane Wednesday 5 November – Sheffield Wednesday 12 November – Southampton Wednesday 19 November – Slough Wednesday 3 December – Birmingham The cost for FTA members is £295 plus VAT for the first delegate and £265 plus VAT for subsequent delegates; for non-members £395 plus VAT for the first delegate and £365 plus VAT for subsequent delegates. www.fta.co.uk/events/Transport_Manager_Conferences_2014.html

Measurement of the quantity and quality of petroleum and its products is vital for accurate allocation, custody transfer and fiscal purposes, stock control and loss prevention. The Energy Institute (EI)’s Hydrocarbon Management Committee (HMC) has developed new online training and good practice guidance to support greater understanding in this field. The new resource – Online training for hydrocarbon management – has been designed to improve knowledge of these issues across various parts of the industry. 

Given the international focus of hydrocarbon management, there is a clear need to standardise and align processes, to inform industry and to promote consistent and accurate measurement of the quantity and quality of products at various points along the supply chain. The training is broken down into a series of modules to introduce the key elements of hydrocarbon management to those who are relatively new to the topic or who simply wish to refresh their knowledge. This project has been devised by the EI’s HMC in conjunction with IDESS Interactive Technologies Inc and SGS. The first two modules in the training resource are now available: ·         Petroleum measurement (for marine cargo inspection) covers marine cargo measurements and matches the requirements of the IFIA Inspector Certification Programme. This includes the safety, sampling, testing and calculation procedures associated with hydrocarbon management. ·         LNG operations (sea transport) provides a solid background to those involved in handling marine LNG cargoes, covering the product properties and measurements and also vessel operations and load and discharge procedures. HMC guidance covers all aspects of petroleum measurement from production allocation through to transportation and refining. Other recent EI technical publications cover general terms and conditions for the sale and purchase of crude oil, cleaning of tanks in marine tank vessels carrying petroleum or refined products, and procedures for cargo inspections for crude oil, products and liquefied petroleum gas.  www.energyinst.org/hydrocarbon-management  

A survey of 750 oil-using homes by Watson Petroleum and OFTEC earlier this year has revealed that oil heating remains a popular choice with few owners thinking of switching. Of those that expressed a preference, most were satisfied with their existing heating system while 73% of those considering replacing their existing boiler will install a new oil condensing boiler. By contrast only 4% were considering switching to an air source heat pump.

“Oil is becoming more affordable and competitive, and the cheapest option going forward for most off-gas homes” says Jeremy Hawksley New research commissioned by OFTEC and the FPS predicts the price of oil will continue to fall over the next three years, spelling more good news for the industry. The results forecast that by Q4 2014, the price of kerosene will have reached 55.52ppl in the UK and 75.81 cents per litre in Ireland. From there, prices are forecast to drop to reach 54.00 ppl in the UK and 74.10 cents per litre in Ireland by Q4 2016. The forecasts show that prices will fall further into Q2 2017 to reach 53.43 ppl and 73.39 cents per litre. The predicted drop in oil prices comes at a time when gas and electricity prices are continuing to rise, evidenced by the latest Sutherland Tables data. These figures show the average annual cost of heating a three bedroom home by gas and electricity has increased over the last three years by 34% and 27% respectively. This compares to the cost of using an oil condensing boiler which has fallen by 12% over the same period. The National Audit Office also predicted that consumers face almost two decades of price rises for electricity, gas and water to fund £310 billion worth of new infrastructure. Commenting on the research, which was carried out by UX Energy Services, OFTEC director general Jeremy Hawksley said: “It is of course impossible to predict how future world events will pan out and exactly how these will affect the price of oil. “However, the research remains valid and shows that the general trend of falling oil prices is expected to continue. This underlines the fact that oil is becoming more affordable and competitive, and the cheapest option going forward for most off-gas homes.”

As part of its 60th anniversary celebrations, JET has announced a three-year sponsorship package that will see the fuel brand appointed as the official fuel partner of the Silverstone Classic. In the run up to the World’s Biggest Classic Motor Racing Festival, which takes place at Silverstone from 25th – 27th July 2014, the company will also be giving away an incredible money can’t buy prize. The unique prize for two lucky individuals includes a 25 minute GT Legends high speed parade with a professional driver, a ride in the pace car, BMW luxury transfers, a helicopter ride, onsite accommodation, a guided tour of Race Control, VIP concert stage bar passes with a private backstage tour of the concert area, performance driving sessions, tickets to the BRDC Silverstone Classic Dinner and £500 spending money. Entries close on 18th July and full details of how to enter can be found at www.jetlocal.co.uk/moneycantbuyprize Pete George, managing director, Phillips 66 UK and Ireland Marketing, comments: “2014 marks the diamond anniversary of our fuel brand JET – 60 years since JET opened its first petrol forecourt in Yorkshire. This is a real milestone for us as a company and an achievement that we are very proud of. “As part of our anniversary celebrations, we are delighted to become Silverstone Classic’s first official fuel partner. To be part of the world’s biggest classic motor racing festival at the iconic Silverstone circuit is a great honour and seems a fitting way to mark 60 years of delivering the highest quality fuel to our network of 300+ independently operated service stations. “Over the next three years, our sponsorship of this hugely popular event will provide us with a number of opportunities to engage with sports and motoring enthusiasts throughout the UK.” As part of the agreement, JET will also take on the title sponsorship of the two iconic HSCC Super Touring Car Championship races. www.jetlocal.co.uk                  

Caught on camera – Le Craggs team When Le Grand Depart came to Yorkshire, Craggs Energy was in pole position. “As a company with its origins firmly in Yorkshire, we were immensely proud that Le Grand Depart came to our county,” said marketing manager, Ben Duckworth. “The stage two route came right past our head office in Cragg Vale and we felt very privileged to witness this once in a lifetime event. The whole team came out to enjoy race day and we were even lucky enough to get an aerial shot of our wagons on ITV!”

The 2014 OFTEC Awards for Excellence winners The best talent in the oil heating industry was showcased at OFTEC’s 2014 Awards for Excellence event last month. Attended by more than 170 industry guests, this year’s Awards saw David Ewins from Cornwall-based Davanna Heating beat off stiff competition to pick up the title of Boiler Installer of the Year, with Stephen Owen of SC Owen in Reading receiving the award for Servicing and Commissioning Technician of the Year.

Domestic oil theft is on the rise according to the FPS. The trade association has warned consumers to be extra vigilant when it comes to safeguarding their supply during the summer holiday period and issued the following advice: ·         If your tank has a lid, fit locks. This may be a legal requirement for some tanks. Your tank installation engineer or fuel delivery company will be able to advise you. ·         Consumers with the ‘vent and fill’ design should fit the lockable cap designed to secure this type of container. Of course, locking your tank may prevent your supplier from filling your tank if you’re not at home, so make sure your supplier has a key or code for access. ·         Monitor your oil tank on a regular basis.  Remote electronic oil level gauges are available which will set off an audible alarm if the oil level in the tank suddenly drops or falls below a quarter full. These gauges can be located in the kitchen or perhaps a utility room to warn of any potential problem. ·         If you belong to a neighbourhood watch scheme you can discuss this issue of oil theft with your group coordinator so that everyone of the scheme can be vigilant. ·         If the need arises to replace your tank, consider where you position the tank and make more secure. But remember to leave clear access for the delivery man at the fill point and the gauge can be seen. ·         You MUST never lock or block the tank vent/ breather, as this will cause the tank to split and cause further damage. ·         Consider fitting CCTV to monitor the tank ·         Security lights can have a very positive effect and make any property a much harder target for the thief. It’s not always necessary to floodlight the area with high power beams, as a more subtle level of lighting may be all that is needed. Low energy “dusk till’ dawn lights positioned close to the tank should, in most cases, provide sufficient light to illuminate any suspicious activity. This type of light can be both effective and inexpensive. High powered lights can be used but care should be taken not to cause any nuisance to neighbours or road users. Chief executive, Mark Askew warned that consumers in rural areas may be at greater risk: “Consumers in isolated locations, especially with tanks sited near the road should be especially vigilant. Rural areas are quieter and less frequently patrolled by police than their towns and cities, so homeowners need to look out for each other. Lookout for suspicious-looking individuals and vehicles, particularly vans, on both yours and your neighbours’ properties. If you’re particularly concerned, consider relocating your tank to an area that is more secure, remembering to leave it accessible for deliveries. Fitting CCTV and/or security lights to monitor your tank can also go some way to deterring potential thieves.” www.oilsave.org.uk https://blog.boilerjuice.com/3-ways-to-prevent-heating-oil-theft-in-your-area/  

In April 2004 a small team of passionate individuals formed MechTronic with the aim of providing ‘class leading products and services’ to the  fuel oil market  Initially working from a spare room, the company moved into an industrial unit at Kirkstall Forge in Leeds, an area first occupied by the Cistercian monks of Kirkstall Abbey 800 years ago. “At this stage the team would not have believed that within 5 years the company would be the UK market leader in its field,” said sales & marketing director, Andy Spencer. “But MechTronic’s three years at the forge saw the development of the first mechanical metering solution, the new VisiFlow manifold and the revolutionary SPGI (Smart Product Grade Indication System).  It also delivered the MaxFlow electronic metering system with its simplified one cabinet approach that the industry now considers the bench mark.” In 2007 when the River Aire burst its banks flooding the MechTronic building, the company moved to newer city centre premises which had the added benefit of parking for Leeds United matches!   Listening to customers, doing the simple things well and innovating Further investment in cutting edge IT enabled the development of a facility in which rapid proto typing could be carried out.  Coupled with the team’s flexibility and drive, these new resources allowed the company to take ideas from the field and bring them to market as products they could sell very quickly. “MechTronic’s philosophy has always been to listen to customers, do the simple things well and to innovate,” said Andy.  “This philosophy resonated with fuel oil distributors giving us a unique approach that would eventually deliver a fresh new look to the industry.” In addition to first-class products, the company quickly realised that after sales support was just as important and MechTronic Technical Support was born.  Known as MTS, this service team has rapidly increased in size in response to demand for planned/unplanned maintenance packages, similar to those offered by vehicle manufacturers. “The UK-wide team now has 12 people dedicated to providing class leading customer service,” added Andy. Anniversary activities Celebrating its 10th anniversary this year, MechTronic will unveil its new OptiMate metering control system.  “The next major step in the evolution of metering and delivery control, it will reflect big operational savings for distributors and much improved compliance with HMRC requirements on line contamination,” says Andy. In June, 12 employees will cycle almost 80 miles in just one day for charity – some customers are rumoured to be tagging along too.  Later in the year, all employees are invited to a day at York races. “Time flies – that saying has never been truer, especially for those that were present when MechTronic was formed 10 years ago,” said Andy.  “In the time ahead, the team looks forward to working with customers old and new to help ensure our industry is a more cost effective and safer place to be.’’

Given developments in Ukraine and the role that Russia plays in the global oil market, supply availability is a big talking point once again. Below UX Energy Services consultant Dr Craig Lowrey looks at some of the issues that this situation could generate for the UK market. Closer to home, the devastating weather conditions that hit parts of the UK over the last winter have also brought security of supply into renewed focus.     The UK’s ability to control the fate of its heating oil price has diminished; something also seen in the wholesale natural gas market over the last decade. A decline in domestic refining capacity coupled with the decline in crude production from the UK Continental Shelf has meant increased import reliance, making the UK price for heating oil increasingly reflective of international events. As North Sea output declines further, forecasts from the UK government show that this trend is likely to continue well into the next decade for all petroleum products. Reflecting the economics of the refining industry across Europe, the nation’s refining capacity has fallen over the past few years as the industry struggles with falling demand in the wake of recession and the resultant over-capacity.  This has been compounded by growing competition from facilities in the US, Russia and Asia, although these regions themselves have had a few mixed years.  Many sources in the industry are predicting that further European refinery closures can be expected by the latter part of the decade. The refining sector saw the closure of the Petroplus-owned Coryton site in 2012 and in late 2013, an industrial dispute threatened to result in the closure of the INEOS site at Grangemouth.  The start of 2014 has been equally challenging; in February, Essar Energy announced that its Stanlow refinery would see production capacity reduced by a third from October, citing ongoing losses on site. For some years Murphy Oil has been seeking a buyer  for its Murco facilities in the UK which include the Milford Haven refinery.  With the latest efforts regarding a takeover having recently broken down, the future operation of the site is now in further question; particularly given the general ill health of the European refining sector. Increasing imports with ‘mutual interdependency and common interest’ With the UK’s reliance on imports showing no signs of abating, there is the question of the source of those imports and, in particular, the role Russia plays with respect to energy matters in the UK and Continental Europe. Building on a long standing partnership, Russia and the EU signed an agreement in March 2013 aimed at cooperation in the energy sector through to 2050.  In recent years, Europe has sought to diversify away from Russian energy imports, a move that largely commenced in 2006 following the Russia-Ukraine gas supply dispute when Russian gas flows to the EU through Ukraine’s pipelines were compromised. A second dispute in early 2009 accelerated the move away. The EU describes the relationship with Russia as one based upon ‘mutual interdependency and common interest’ with Russia being the largest oil, gas and coal exporter to Europe.  In the oil industry, EU-Russia cooperation has been growing over recent years with European companies active in Russian exploration and production, while Russian companies have made increasing inroads into refining, marketing and retail. According to the latest figures from the UK government, at 40% of total imports Russia may have been the nation’s largest single source of coal and solid fuel imports in 2012 but it was third in terms of crude oil imports with the provision of 11% of the total, behind Norway at 50% and Nigeria on 12%. The Department of Energy and Climate Change did however note that Russia ‘has generally become a more important source of imports’ of crude oil in recent years. The effect of sanctions While the possibility of economic sanctions and a decline or loss of Russian energy flows into Europe is – at the time of writing – a number of steps away, even the possibility of such an event gives rise to continued volatility in financial and energy markets in the short term.  So far, Russia’s comments regarding a possible reduction  in energy flows have focused more upon gas than oil and oil products, a fact reflective of Ukraine’s outstanding multi-billion debt to state-owned Russian company Gazprom. The ability of both the UK and the rest of the EU, notably Germany – the largest single importer of Russian oil and gas – to diversify away from this traditional and long standing source is limited – particularly given that the influence of sanctions will have a global effect. Sanctions against Iran in the summer of 2012 contributed towards a 10%-15% increase in the price of crude oil that was reflected in the markets for petroleum products. As well as impacting energy prices, this in turn fed through to the cost of living through the prevailing inflation rate. Russia’s status as the largest non-OPEC oil producer – as well as the world’s largest largest oil producers in general – means that sanctions would have a noticeable effect, although the extent of this – not to mention the likelihood and form of sanctions – remain speculation at this stage.

Improving the terminal’s capability has seen customer service and efficiency optimised says engineering manager, Phillip McEvoy Since moving to its new terminal at Stanlow in Cheshire, ESL Fuels has gone from strength to strength. ESL has invested in modern, sophisticated facilities and systems to bring the terminal up to date.  The terminal is on the former BP Castrol site which closed in March 2010 with the loss of 60 jobs Deputy editor Liz Boardman visited engineering manager, Phillip McEvoy to find out more about the company’s plans for growth.Innovation and diversification “Innovation powers our long-term growth and is at the heart of what we do,” said Phillip.  “Established in 1999, ESL Fuels pioneered the manufacture of alternative industrial fuels long before anyone was truly aware of the impact caused by greenhouse gases and CO2 emissions. We’ve gone on to diversify, specialising in the design, manufacture and supply of a wide range of innovative fuel products. “The move to Stanlow has opened the doors for further diversification. We’re in a key location with extensive storage and have numerous opportunities to move the business forward.” In addition to a long-standing partnership with Certas Energy, ESL has recently further strengthened its well established collaboration with Essar Oil (UK), by linking the two facilities together. “The infrastructure for growth is in place,” said Phillip. “We have an excellent relationship with Essar – they have a good track record of supporting local companies and are helping us to grow the business.” This is being done by moving away from the traditional customer supplier model and moving towards a solutions driven collaboration between ESL and Essar. “We see Essar as a supportive and innovative business partner.” Colin Dixon, Essar’s head of marketing commented: “Our partnership with ESL is a great example of Essar’s commitment to delivering world class service to our customers in the reseller channel. We’re proud to have supported ESL’s growth since the early days of their business.” ESL operates a pipeline network that runs through the Stanlow refinery to the terminal’s quayside with the Manchester Ship Canal, opening up further opportunities for the company by having the ability to import and export products by ship.A bespoke service ESL can offer a huge range of customer offerings, from standard storage solutions to bespoke discrete toll manufacturing and blending services. “We have 112 tanks offering at total of 50,000 cubic meters of storage, of varying capacity and function. Any tank can be heated, agitated and blended with components from any other tank on site. “We’re committed to working with customers and providing bespoke solutions. We pride ourselves in offering a good service at a reasonable cost.” ESL has recently been awarded a major contract on behalf of a leading biodiesel supplier. This will see ESL blend up to an additional 100 million litres per year. This contract was awarded by working closely with the operator to provide a tailored solution to their requirements. The company, which was founded by Stephen Whittaker and now employs 30 people, is also going through a program of major capital investment. This is focused on improving the terminal’s capability so customer service and efficiency will be optimised. Investment is also being targeted in terminal infrastructure and asset integrity.  “Robust asset management is at the heart of everything we do, this allows us to sustainably provide an excellent service to all customers.” ESL has also recently invested in four new In-Control loading skids to enable a quick turnaround for fuel collection for both customers and its own tanker fleet. Now supplying up to 180 million litres of alternative fuels per year, the company uses in house transport combined with dedicated haulage contractors to deliver a first class service.

Following the recent acquisition of Countrywide’s fuels division, deputy editor Liz Boardman travelled down to Ford Fuel Oils’ Farrington head office to find out more about the family firm   Family values From early roots in milk and coal after the Second World War to scrap metal in the early 1970s, Alan and Jack Ford founded the fuel business in 1972.Following in their footsteps, sons Adrian, Michael and Richard remain in the business whilst the family’s fourth generation – John, Teelah, David and Grayson – has also entered the business in recent years. John Ford, now a director, joined the business at 15, working part time to gain valuable experience. Having worked in every area of the business, including two years as a full time driver, John can turn his hand to pretty much anything. “You can’t ask someone to do something that you wouldn’t do yourself,” he said. “We have got to where we are now through family,” adds John. “Certainly we have increased in size since the Countrywide acquisition and now employ 120 people including 45 drivers, but we are still very hands on. Customers can still talk directly to a member of the Ford family. We often go to visit farmers and regularly speak to domestic customers over the phone. Equally we know all of our employees well and regularly talk to our drivers. That’s what sets us apart and ultimately accounts for our success. We like to think that we do things differently here – and better!”   A good fit  Although the company has tentatively dabbled in the acquisitions market in the past – mostly buying one man bands for access to their customer bases – the decision to acquire Countrywide’s fuels division in October 2013 was not one that the directors took lightly, as John explained: “We agonised over the decision but ultimately it looked right. It was a good opportunity and one which fits well with our business – not least geographically. “We have strong family ethics and in many ways still view ourselves as a small, independent distributor. We’ve not lost touch with our roots and don’t want to be seen as a big corporate machine now we have a sizable acquisition under our belt. We don’t want to introduce high margins or have phones ringing off the hook – it would be a bad reflection on both the business and the acquisition itself.” Now rebranded as Countrywide Oils – part of the family driven solution/part of the Ford Fuels Oils Group (the company’s two strap lines) the new section of the business will eventually come under the Ford banner with a dedicated website in the pipeline. As far as further acquisitions go, Ford Fuel Oils is not currently in the market, as John pointed out. “We’ve already taken on a big acquisition and that’s enough for the foreseeable future. We don’t want to chase growth and put at risk what has taken years to build. We need a solid period of consolidation and we also need to take the time to build Countrywide Oils back up to where it used to be.” Nor is the company up for sale: “There have been a number of big distributor acquisitions recently but we are most definitely not for sale,” added John.   Supply solutions With existing Ford depots in Farrington Gurney, Westerleigh, Stalbridge, Membury, Theale, Bow and North Petherton and newly added Countrywide Oils depots in Defford, Finmere, Presteigne and Weston Super Mare, the company has a good presence across the south of England with a significant stronghold in the south west. Supplying in excess of 150 million litres of fuel each year, mostly to agricultural and domestic customers, the company also has a sizeable commercial customer base and services a number of local quarries. “The domestic and agricultural sectors remain by far our biggest markets. We are an old fashioned distributor – it’s what the business was built on,” John told Fuel Oil News. “However we are fortunate that we aren’t reliant on one sector. We haven’t really had a winter so far but have been able to pick up work in other markets.” The company also supplies four million litres of Total, Petronas and its own brand lubricants – Lubricants Direct – per year. “Lubricants bring opportunities for fuel and vice versa,” said John. “We have our own bottling plant and can label containers with our customers’ logos, which is quite unusual for a distributor. It also gives us a good level of flexibility.” Fuel cards is another albeit small arm to the business. “We supply approximately 15 million litres of fuel this way each year, explained John.” It’s a relatively small part of our business but one that’s convenient for our customers. If customers want to use fuels cards then we can supply them, although we are very wary credit-wise” With a fleet of 43 tankers and another three on order from RTN Lakeland, Ford Fuel Oils moved up six places from 16th to 10th on this year’s Fuel Oil News’ Top 20 UK distributors list which was published in the February issue. “We have a long-standing relationship with RTN Lakeland and buy at least three rigid tankers each year. We are a company that likes to build lasting relationships and stick with them. We consistently use Emco Wheaton’s loading solutions and have long been a customer of Fuelsoft.”

INVER CONTINUES TO GROW ITS UK BUSINESS BY EXPANDING THE SALES OFFERING FROM ITS CARDIFF TERMINAL; THE SIZE AND LOCATION OF WHICH HAS FACILITATED THE COMPANY’S GROWTH AND DIVERSIFICATION Development projects in 2008, 2010 and 2012 have transformed the terminal from a heavy fuel oil terminal to a modern sophisticated facility supplying a full range of fuel products.   The 74,000 m3 terminal now has multi-modal capability for receipt of fuel by ship, road and rail.  The terminal’s automation system, 24/7 operations, and its 6 fast-pumping loading racks offer customers unparallel flexibility and efficiency.   A wider range of products Capitalising on recently vacated storage capacity within the terminal, Inver has expanded its product offering. The company is now selling a wide range of gas oils, kerosene, diesel, heavy fuel oil and marine fuels.  Inver’s ability to purchase and store large economical cargoes, allows it to offer customers competitive pricing for these products.  Sales have exceeded expectations in the first quarter; this is supported by the security of supply afforded through the import and storage of 20,000 tonnes of kerosene and low sulphur gasoil. The company has observed the increasing product segmentation of the gas oil market: 10 ppm gasoil for non-road mobile machinery; 1000 ppm gasoil for industrial and commercial heating; and various grades of marine gasoil.  Inver’s ability to import and store these various grades has allowed it to offer customers the right grade at the right price for the specific requirement. Tony Wilson, commercial director of Inver UK since 2006, says that the expansion of Inver’s sales and product offering has been well received and welcomed by customers. “The exit by other fuel importers in the area has reduced the security of supply and competitiveness in the market.  Inver is committed to using its own terminal to maintain the supply of cost competitive product,” says Tony. “Customers always want supply and pricing alternatives.  Inver’s pricing options include contract and spot live pricing and both are proving popular.  Our ability to supply ex-rack or to deliver using our fleet of dedicated road tankers is also an important optionality and service.”

Pete George – taking every opportunity to get out and meet customers AN HONEST CONVERSATIONHeadquartered in Houston, Phillips 66 has 13,500 employees and, as of 31st December, 2013, had $50 billion worth of assets ‘On the back of a strong supply of quality products both in the wholesale markets and in the retail market as JET’, Phillips 66 continues to grow its market share here.  Fuel Oil News editor, Jane Hughes asked managing director, Pete George about the business, refining and fuels and its relationship with fuel oil distributors.

Keen to grow in the fuel distribution sector, managing director Steve Spelman says MHT has products for everyone right down to the smallest depot Keen to find out more about MHT Technology, the terminal automation and tank gauging solutions specialist, deputy editor Liz Boardman travelled to the company’s base in Melsonby near Richmond to meet managing director Steve Spelman and product manager Judith Brown 2014 is a big year for the company as it celebrates 20 years in business. From just five members of staff in 1994, the company has grown almost five fold and now employs 24 people, including Steve who joined the company in June 2013. “MHT has built up a strong team with many loyal and committed staff,” said Steve. “There’s a huge amount of knowledge and experience here and we’re in a strong position to continue the growth of the company.” In September 2013 the company became a wholly owned subsidiary of Endress+Hauser. “It’s a win-win situation for us,” explained Steve. “Although we have the backing of a large, well known company and access to international markets, we are still MHT. We have retained the brand – the company name and logo remains unchanged and we maintain our independence within the market place when it comes to recommending gauges and instrumentation.”Scalable software Having carved a niche as a supplier of tank and inventory management solutions which can interface to field devices from all leading manufacturers, MHT offers a range of software and hardware solutions designed to lower operating costs and improve safety. One of the company’s first products, Visual Tank for Windows (VTW) was launched in 1994 and still remains one of its most popular. “As well as providing real time stock monitoring, the software also increases safety by reducing the need for manual dips,” explains Judith. “It enables fuel distributors to optimise deliveries and can also provide leak and theft detection. By working with all the main gauge manufacturers, we’re able to provide a complete service.” Launched in 2011, smartTAS terminal automation software is a scalable solution which can communicate directly with a single loading skid at a typical depot or multiple gantries at larger oil terminals. “Not only does smartTAS increase security through controlled loading but it also helps to reduce costs by increasing efficiency and quickly identifying any losses incurred,“ said Judith. “By working closely with a number of loading skid manufacturers and suppliers we can offer a complete solution. “Additionally there’s a link between the two software products, so physical stocks displayed in VTW can be compared against the transactional data in smartTAS. This means any losses can be identified and the cause investigated.” “Whilst a typical depot would have smartTAS, VTW and an ATEX approved Field Display, which provides level, temperature and volume data for multiple tanks, our systems are completely scalable and depots may opt to have just one element rather than the full package,” added Steve.Size doesn’t matter Although MHT’s main market is the terminals and storage sector and the company can boast an impressive client portfolio, Steve was keen to stress that it offers products which are suitable for even the smallest depot. “We have products for every market – both big and small – all of which are tailored to meet specific site and customer requirements. The fuel distribution sector is an extremely important market for us and one which we are keen to grow.” Carrs Billington is one of MHT’s biggest fuel distribution customers. The company is benefiting from increased efficiency and cost savings following the successful rollout of a programme of depot automation solutions across eight sites (five in England and three in Scotland.)“I can remotely monitor stock 24-7 across all of our sites, either from the office or at home. This is particularly useful at our unmanned sites, giving me both visibility and peace of mind.”Robert Young, operations manager for Carrs Billington’s five English sitesAdded support In addition to its range of products, site surveys, installation and commissioning are all part of the company’s standard service offering and are tailored on a site by site basis, as Judith explained: “We offer a free site survey as part of our pre-sales process where we can demonstrate the system and get a real understanding of the customer’s requirements. “Following installation, our support team provides a selection of maintenance and support packages. These range from remote support whereby we set up a remote login and can be on hand to support customers within office hours, to complete 24/7 support for some of our bigger customers. We have a helpdesk which is manned during office hours and out of hours there is always an engineer on call.” The company also offers face to face training and e-learning, both of which are proving popular with customers.An exciting new development Ensuring continuity of software systems is an essential requirement for most of MHT’s customers. With this in mind, the company has just launched a redundant solution for its smartTAS software, which enables a vehicle to load without interruption, even if the primary server has a hardware or software failure. In this instance a secondary server would automatically take over in a matter of seconds. “This gives our customers ultimate piece of mind and eradicates costly downtime,” said Steve. “It also means that routine IT maintenance can be done in office hours – again passing a cost saving onto our customers. With customers throughout the UK and across the world already using our redundancy offering for VTW and LMS (our LNG management system), we’re pleased to complete our portfolio with the new redundancy offering for smartTAS.”

With more than 200 million Americans in the icy grip of a polar vortex, FON spoke to US fuel distributors Loud Fuel and Porco Energy to find out how they were coping. Well seasoned Working in and around the Cape Cod area of Massachusetts, Loud Fuel’s managing director, Kabraul Tasha said that the company was finding it tough: “Cold weather is tough on the fuel in the trucks – trying to keep them running is difficult and, with the ice and snow staying around for longer, driving conditions are slowing down output. “We were prepared for the last cold spell – I was way ahead on degree days with my autos, so it’s a little more comfortable not worrying about autos on the brink of running out. The best thing I have on my side is seasoned people both in the office and out in the field.” www.loudfuel.com   Crunch time Porco Energy, based at Marlboro, New York may not have had the snow that others have experienced, yet demand for product has increased by 10%. Porco Energy, which has 10,000 customers and covers a 40-mile radius from two different locations, delivers kerosene, fuel oil and propane. “We’re normally busy at this time of year but when it gets really cold like this it’s crunch time,” said owner Joe Porco. “The extreme cold weather has put added pressure on us with increased deliveries and we do need to carry methyl alcohol in case we get frozen on a tank and fuel oil additive to stop gelling. Plus, due to several factors there’ve also been supply disruptions. “In the north east our main propane supply is from the Teppco pipeline. Two pipelines start at Mont Belvieu, Texas to Todd Hunter, Ohio, with one continuing to Selkirk, NY from where we get most of our supply. This year Teppco has decided to reverse the flow of one line from Todd Hunter to Texas to export propane and shale gas. This puts an immediate strain on the amount of propane coming north. “We supplement this with a contract for propane by rail, however, extreme cold out west and in Canada has at times affected pumps, compressors and valves, delaying delivery. Of course, all this supply and demand has increased costs.”www.porcoenergy.com  

The latest Fuel Oil News Distributor Debate took place last month on a day now referred to as Wild Wednesday. As the wind and rain began to whip up a storm, more than 80 people gathered at the Ramada Hotel in Solihull. Our first speaker was Andrew Owens (1), co-founder of Greenergy in the early 1990s, a company which now supplies over a quarter of all the road fuels in Britain. To better support the country’s growing import demand, Greenergy has both acquired, and made significant investment in, GB terminals. With the prospect of two thirds of our diesel needing to be imported in the future, Andrew asked the pertinent question Can the UK survive without refineries? With its Lindsey refinery, Total UK operates one of the UK’s 7 remaining refineries. Networking with a rather rain soaked David Hodge (6) of Lancashire-based Ribble Fuel Oils was Total UK commercial sales manager, Dominic Hewitt who found the day ‘very interesting.’ Phillips 66 still operates the Humber refinery, Pete George, managing director of the company’s UK & Ireland marketing, reported this Distributor Debate to have been ‘very informative’. With Pete George (3) are on his right, Janet Kettlewell of Kettlewell Fuels, one of the more recent distributors to join the Jet branded fold, and Karen McBride and Richard Billington from Certas Energy. Instructing the audience on the impact of issues in the wider oil world was Mystic Mog the Portland cat. James Spencer’s (4) entertaining presentation was much appreciated by the audience and particularly ‘thought provoking’ for Rod Prowse of Marathon Associates. Distributors and speakers had travelled far and wide to attend the event, among them Marcus Jones (5) from Anglesey-based TR Jones and Sandra Morris from Chester-based Wirral Fuels, pictured with Ken Taylor, OAMPS. By 2015 it is possible that oil heating could be eradicated – OFTEC director general, Jeremy Hawksley (2) made a plea for distributors to get behind the Oilsave campaign, a joint initiative with the FPS. FPS president Mark Nolan (7) of Nolan Oils, seen among many familiar faces, was spurred on by Jeremy’s call to fight for oil heating and is actively promoting the campaign in the distributor community. Julia Mansfield of Fuel Additive Science Technologies provided a highly informative insight into kerosene supply and quality. Taking a look at the impact of the imminent launch of the Renewable Heat Incentive, Paul Stephen, editor of Renewable Energy Installer, explained the challenges and the possibilities for oil heating. Endeavouring to give a business a more competitive edge, Fuelsoft’s David Kingsman and Kan’to’s, Dimitri Papaioannou discussed the benefits of customer relationship management software and enhanced real time tank telemetry respectively. To help better prepare for future events, Fuel Oil News welcomes feedback from those who attended to jane@fueloilnews.co.uk.