The Prax Group, an independent oil refining, trading, storage, distribution and retail conglomerate dealing in petroleum products and bio-fuels, has announced that it has completed an exclusive crude oil and feedstocks supply arrangement with Trafigura.
Under the terms of the transaction, Prax will purchase crude oil and refinery feedstocks from Trafigura for all of its requirements for the Prax Lindsey oil refinery, located near Immingham in the Humber estuary, in the North-East region of the UK.
Under the new agreement, Trafigura will use its global reach in international oil markets to source the optimal range of crude oils and feedstocks for the refinery. Other details relating to the transaction remain confidential.
Sanjeev Kumar, CEO of the Prax Group, said: “This arrangement is an important step in the group’s plans for the long-term growth of the refinery and it will pave the way to further strengthen our long-term relationship with Trafigura. It will provide operational and planning flexibility, helping us to continue to deliver an excellent level of service to our customers.”
Jose Maria Larocca, Executive Director and Co-Head of Oil Trading for Trafigura, said: “Trafigura is delighted to be working with the Prax Group following their new refinery acquisition. We’re committed to supporting our customers by providing access to the best opportunities available in the global commodity markets.”
The Prax Group took over ownership of the Lindsey oil refinery from Total on 1 March 2021. With an annual production capacity of 5.4 million t, the acquisition underpins the group’s long-term strategy to be fully integrated across the oil value chain from upstream to downstream and secures local supply for the trade and sale of oil products for its downstream presence in the UK.
Read the article online at: https://www.hydrocarbonengineering.com/refining/02032021/the-prax-group-agrees-exclusive-crude-oil-supply-arrangement-with-trafigura/