A prospective buyer has emerged for the Lindsey Oil Refinery, sparking optimism as the deadline for expressions of interest nears this Wednesday. The refinery, located in close proximity to Immingham, faced an uncertain future after its proprietor, Prax Group, entered administration in June, putting 420 jobs at risk. Energy Minister Michael Shanks previously alluded to a scarcity of credible offers to buy the entire facility, hinting at a possible winding down of operations. Yet, local MPs and councillors have revealed a significant bid to acquire the refinery entirely and preserve its operations, with multiple parties showing interest in various parts of the business.
Brigg and Immingham MP, Martin Vickers, and Rob Waltham, the leader of North Lincolnshire Council, have announced that a potential buyer is interested in conserving the refinery and its workforce, although they have not disclosed the identity of the buyer. Waltham asserted both North Lincolnshire and North East Lincolnshire councils’ commitment to creating employment and training prospects for those impacted.
Waltham stated that the interest of parties in preserving jobs at this crucial time is ‘”very reassuring”‘, and called on the government to continue backing the efforts to sell the site in full. Recently, the refinery saw the last of its petrol and kerosene units produced, with existing stocks anticipated to last till September.
Fred Brown, a process operator and branch secretary for Unite the union, pointed out that while fuel is currently in storage, the potential halt of the refinery’s operations could affect petrol stations throughout the Midlands, extending to Lincolnshire. Waltham expressed apprehension regarding possible fuel supply constraints, impacting local businesses and critical services, including the NHS. However, the Department for Energy Security and Net Zero asserts that the UK’s overall fuel supply remains secure, with arrangements in place for buyers to modify their supply chains.
With implications for the region’s economy, the closure of the Lindsey Oil Refinery, which accounts for about 10% of the UK’s fuel supply, is of significant concern. Nonetheless, the anticipation of a new buyer instils cautious optimism for the future of the refinery and employment in the region. This article has been adapted from original reporting by The Lincoln Post from www.bbc.com.
