Q8Oils parent company Kuwait Petroleum International and Gunvor Group have announced that their respective affiliates have reached the final stage of negotiations on the sale of the KP Europoort refinery in Rotterdam, The Netherlands, subject to regulatory approval and the necessary employee consultation process. The sale would allow the refinery to continue in line with Gunvors integration and optimization strategies.
KPI said the sale would be the result of an intense and careful search by the company for a suitable buyer, after a reevaluation of its strategy for the KP Europoort refinery. Among the most important criteria were continuing with the refinery operations and finding a financially solid, experienced, reliable buyer.
The Europoort refinery produces API Group I base oils with production capacity of 4,650 barrels per day.
KPI stated that although Q8Oils still sources some of its Group I base oil from Europoort, the sale will have no impact on Q8Oils lubricants business, as Q8Oils also sources Group I from external suppliers, and has done for many years. Because these alternative base oils are already used at Q8Oils blending plants, via long term supply contracts, there will be no impact on pricing or security of supply. Q8Oils and Kuwait Petroleum Research & Technology have been working closely with other refiners for many years to develop base oils for Q8Oils that match the quality and performance of Europoort product.
Q8Oils said it will continue to purchase its Group II, III, IV & V from the same external suppliers, as it has done since the 1980s.
Gunvor is one of the worlds leading independent commodities trading companies. It has a proven track record of successfully taking over and operating refineries. Gunvor wholly owns two refineries; one in Antwerp, Belgium; and another in Ingolstadt, Germany, both acquired in 2012. The intended purchase of the KP Europoort refinery would enhance Gunvors existing refining operations, while also complementing its global trading activities.
