A sale has been agreed on the Murco oil refinery in Milford Haven, safeguarding 400 jobs.
The future of the plant had been in doubt since the company announced that is was no longer buying crude to be processed at the site, following the collapse of a £ 300 million deal with investment firm Greybull Capital.
However, the Klesch Group today confirmed its purchase of the site. The firm additionally confirmed that all jobs would be saved.
Klesch Group founder, Gary Klesch, told the BBC that he was “excited” by the takeover. “We will look to optimize and improve the performance of the site. We will start that immediately once we close the deal”, he said.
“It’s good news for the site and the whole area. I’m excited to become involved in the community there”, he added.
Preseli Pembrokeshire MP Stephen Crabb said: “ I am delighted that Klesch Group has today formally agreed to purchase the Murco oil refinery in Milford Haven, following an agreement in principle reached last month. Gary Klesch has a strong track record of improving businesses in loss making industries and I was pleased to be able to bring him into the negotiations seven months ago.
“There is still more work to be done but today’s announcement is very encouraging news for the refinery staff and their families”.
The Minister for Economy, Science and Transport, Edwina Hart also commented: “Today’s announcement is very good news and the first step in securing the long term future of the Milford Haven refinery”.
Klesch emphasized the important role that government had played in brokering the deal. “Whenever we buy a business I look for strong, local stakeholder support. And that support comes from many, many different forms. From working with us on licensing, working with us on permits, there’s a whole list of issues that need to be dealt with when you’re buying a business with this complexity”, he said.
“My hats off to both governments in the effort they have undertaken…that was a big factor in my decision at the end of the day to go forward because I could see they were involved and very supportive”.
Written by Emma McAleavey.
Read the article online at: https://www.hydrocarbonengineering.com/gas-processing/31072014/sale-agreed-on-murco-1054/