UK refinery shut down after 70 years as Dangote disrupts market Scotland’s Grangemouth refinery, the UK’s oldest and last remaining oil refinery, has officially ceased crude oil processing after seven decades of operation.
The plant, operated by Petroineos, a joint venture between PetroChina and INEOS. was responsible for 13% of the UK’s refining capacity, processing 150,000 barrels per day (bpd).
- UK Plans Tougher Immigration Rules, Stricter Deportation for Foreign Criminals
- UK’s Last Oil Refinery Shuts Down After 70 Years Amid Rising Global Competition, Dan
Petroineos announced the shutdown on Monday, citing unsustainable financial losses of approximately $500,000 per day and increasing competition from newer, more efficient refineries in the Middle East, Asia, and Africa.
The decision to shut the refinery was first made in November 2023. However, the company later committed £50 million (about $67 million) to repurpose the site into an import and distribution terminal.
This plan went ahead despite calls from the UK’s Unite union to convert the refinery into a sustainable aviation fuel (SAF) facility, backed by a proposed £200 million clean energy investment, which was ultimately rejected.