Site icon NewsVeo

Scotland’s only Refinery announces Closure

The oil refinery at Grangemouth is to close next year (PA) (PA Archive)

Grangemouth, Scotland’s only refinery, will shut down in 2025, resulting in the loss of 400 jobs.

The refinery’s operator, Petroineos, announced the closure due to increasing competition from larger, more efficient plants in the Middle East, Asia, and Africa.

The 100-year-old plant, which has been struggling to remain competitive, will be transformed into a fuel import terminal.

Petroineos, a joint venture between PetroChina International London (PCIL) and INEOS Group, has cited economic difficulties as the primary reason for the closure.

The company has invested $1.2 billion since 2011, but the refinery has returned losses of more than $775 million during that time.

The refinery is currently losing around $500,000 per day, with projected losses of $200 million in 2024.

Petroineos Chief Executive, Frank Demay, noted that with the upcoming ban on petrol and diesel cars, the demand for these fuels will further decline, which contributed to the decision to cease production in the second quarter of 2025.

In Nigeria, a new refinery built by the Richest Man in Africa, Aliko Dangote is set to begin supply of refined petrol into the market today.

Get instant and latest news updates via Our WhatsApp Community or Google News online channel.

Exit mobile version