- Friday, April 26, 2024
By: Radhakrishna N S
THE Essar Oil UK Group has announced the acquisition of a number of assets from BP today (6) to further strengthen its logistics infrastructure network which will fuel its growth ambitions in the UK.
This latest expansion of its UK interests means Essar has now invested nearly $1 billion in building a profitable and sustainable UK business, since first acquiring the Stanlow manufacturing complex in July 2011.
Under the agreement, Essar will acquire an equity stake in the UKOP pipeline, a share of the contractual joint venture (with Shell) which runs the Kingsbury terminal and a 100 per cent interest in the Northampton terminal.
With 67 Essar branded UK retail sites already operational across England and Wales, the company has confirmed plans to grow its network to 400 retail sites over the next five years.
Essar Oil UK chief executive officer, S Thangapandian, said, “Essar continues to have great faith in the UK market, which represents an important part of the group’s strategic business growth ambitions.”
“Essar will continue to play a key role in keeping Britain on the move. It currently supplies over 16 per cent of the UK’s road transport fuel demand and this agreement will enable us to improve our competitiveness. In a rapidly changing landscape, it is critically important we stay competitive through constant business development and innovation.
“The acquisition will allow Essar to maintain its presence in a very competitive UK Midlands region and grow that current footprint. In addition, we will continue to expand our retail offering – with a number of the 12 new stations we recently branded through an agreement with MPK being supplied from the two terminals,” he added.
