Essar Oil to invest $250m in Stanlow

Essar Oil (U.K.) Limited, which owns and operates the Stanlow Refinery in the U.K., is planning to plough significant investment into the site and has also reported strong financial results.

The refinery, which produces 16% of the U.K.’s road transport fuel demand, processed 9.09 MMT of crude, a 1.3% increase on the previous year’s 8.97 MMT.

Essar Oil U.K. Non-Executive Chairman, Prashant Ruia, said: “The major investment we have confirmed in Stanlow will materially increase throughput and further grow revenues, building on the tremendous progress we have made in turning around the business over the past six years. It also demonstrates Essar’s commitment to remain invested in the oil and gas sector.”

Essar Oil U.K. Chief Executive Officer, S. Thangapandian said: “Essar has committed this year to a significant multi-million dollar capex investment in the Tiger Cub project at Stanlow to deliver improved yields across the product slate and drive revenue growth. In addition, the continued ambitious expansion of our UK retail network and direct aviation fuel supply business are also important strategic elements in the drive to build a fully integrated downstream energy company. This is on the back of a strong FY17 performance, following record results posted the previous year. Although we saw a marked $2.1/bbl decrease in the wider industry benchmark margin, our excellent operational reliability and ongoing margin booster projects saw our own margins reduce by less than half this amount, which demonstrates the enormous progress made within the business.”

Including FY18, Essar will have invested more than $800m since acquiring Stanlow in July 2011, helping to turnaround the business and deliver significant improvements

For more information visit www.essaroil.co.uk

24th Sept 2017