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Murco sale ‘close to collapse’

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murco saleONLY one bidder remains as a possible buyer for Murphy Oil’s 130,000 barrels-per-day Milford Haven refinery, but the process is close to collapse, a source familiar with the matter said on Sunday.

The refinery, operated by U.S. oil and gas company Murphy Oil subsidiary Murco, is the latest British plant to face closure as the industry battles lower demand and increased competition from new, modern refineries in the Middle East and Asia.

Officials at Murphy Oil were not immediately available for comment. The source told the Herald a last bidder was still in the running to buy the plant as a going concern although the bid was seen as having little chance of success.

Many analysts believe the plant is likely to be turned into a storage terminal.

The refinery has been up for sale for three years, but Murphy Oil has failed to find a buyer for the plant, which employs nearly 400 in West Wales.

It is believed that at least two companies were offered the plant for free, plus a dowry worth “tens of millions” of pounds.
Fears that the refinery could close follow the battle to save the Grangemouth refinery complex, on the Firth of Forth, Scotland.

A spokesman for the Welsh government said: “We maintain regular contact with Murco and will continue to communicate with them about their operation in Wales.”

Pembrokeshire councillor John Allen-Mirehouse, former cabinet member for regeneration and economic development on Pembrokeshire County Council said: “This is a turbulent time for oil refining and the industry in Pembrokeshire is not exempt from these pressures. I would be horrified if the refinery closed. The jobs there are very skilled, well paid and very important to the community.”

The Milford Haven refinery can process up to five million tonnes of crude oil per year. Murco bought 30% of the then Amoco refinery in 1981 and acquired the remaining 70% in December 2007.

It was first reported that the Milford Haven site was threatened last year when Murphy chief executive David Wood said that in the absence of an offer the company was “evaluating the potential conversion of the facility into a storage terminal”.

Since then, the plants economic performance has slipped further as oil margins in the UK have come under pressure.

In its preliminary results, published on October 30 this year, Murphy Oil planed “weaker margins at the Milford Haven refinery” for a loss of $22.7m (£14.23m) in its UK refining and marketing operations.

Production at the plant has fallen slightly in the last year to average 126,303 barrels a day over the last month, down from 132,282 barrels a day for the same period the previous year.

The Murco plant is one of two oil refineries in West Wales alongside the Valero plant at Pembroke which was sold by former owner Chevron in August 2011.

The possibility of a shutdown at the Milford Haven refinery is likely to cause fresh concern in Whitehall and with the Welsh Government.

The Scottish Government was quick to meet union leaders and management at Grangemouth, eventually averting the threat of closure.

Murco could not be contacted for comment.

Experts say that the refining industry, which was built up decades ago to convert North Sea crude into petrol and diesel, is struggling as domestic oil production falls and facilities age.

The number of refineries has dwindled from 18 to seven.

Milford Haven is the only refinery left in Murphy Oil’s empire after the company sold a pair of American sites.

The industry has also been weakened by the rise of diesel-powered cars as many refineries, including Murco’s, mostly produce petrol.

In terms of size and complexity, the most marginal refinery Britain is Milford Haven because of its small capacity.

 

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Welsh Labour promises right to read and play for every child in Wales

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New fund would expand toy libraries and automatically register babies for library cards

EVERY child in Wales will have an equal right to read and play, regardless of their background, under plans announced by Welsh Labour today.

The party says that if it is re-elected in the next Senedd term, it will introduce a new programme aimed at improving access to books and toys for families across the country.

The proposals include automatic registration for a library card for every child in Wales when a baby’s birth is registered, the creation of a nationwide network of 100 toy libraries, and a new Children’s Reading and Play Fund. The fund would help pay for toys and increase the number of children’s books available in both public and school libraries.

Welsh Labour says the measures are designed to ensure that children from all backgrounds have access to resources that support learning, creativity and early development.

Cabinet Secretary for Education Lynne Neagle said the plans would help ensure no child misses out on opportunities because of their family’s financial circumstances.

“Every child in Wales should have access to books and toys, regardless of their background. No child should have to go without because their family can’t afford them,” she said.

“Books and toys are a vital part of growing up. The new Children’s Reading and Play Fund would ensure this is a right for every child in Wales and help reduce costs for families.”

Toy libraries operate in a similar way to traditional libraries, allowing families to borrow toys and return them after use. While some toy libraries already exist in parts of Wales, access is currently patchy.

Welsh Labour says its proposal would establish a national network of 100 toy libraries to ensure a more consistent offer across the country. Under the plan, the libraries would work together and receive national support and promotion.

The party argues that improving access to books and play materials can help support early literacy, learning and social development for young children while easing financial pressure on families.

Further details about the proposed Children’s Reading and Play Fund are expected to be set out as part of Welsh Labour’s programme for the next Senedd term.

 

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Community

Planed wins partnership award for Carmarthenshire wellbeing project

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Community hub supporting more than 700 people a month recognised at West Wales health and social care awards

PLANED has won the Working in Partnership Award at the West Wales Regional Health and Social Care Awards, held at Canolfan Pentre Awel.

The awards were hosted by the West Wales Regional Partnership Board and recognise projects that demonstrate strong collaboration across health, social care and community organisations.

The award celebrates the success of the Carmarthenshire Living Well Centre, a project led and managed by PLANED which has become a key hub for community support in the county.

The centre brings together a range of organisations and initiatives offering advice, wellbeing activities and support services free of charge to local residents.

PLANED said the success of the centre has been built on strong collaboration with the many projects and organisations based there, all working together to support communities across Carmarthenshire.

More than 700 people each month now access services at the centre, taking part in group sessions, receiving advice and support, and benefiting from a wide range of community-led activities.

The organisation said the award recognises not only PLANED’s leadership in developing and managing the centre, but also the collective effort of the partners delivering services from the facility.

PLANED added that it will continue seeking further funding to support the development of the centre so it can expand its work and help even more people in the future.

Representatives from the organisation said it was great to see so many partners and familiar faces at the awards ceremony, adding that the recognition belongs to everyone involved in delivering the project.

 

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Ministry of Defence

Tank fire echoes across county as live-fire exercises continue at Castlemartin

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RESIDENTS across parts of south Pembrokeshire have reported unusually loud explosions over the past week as military exercises take place at the Castlemartin Training Area.

The Ministry of Defence confirmed that live firing has been underway at the range between Monday (Mar 2) and Friday (Mar 6) as part of routine training for armoured units.

People living in Milford Haven, Neyland and surrounding communities said the blasts were noticeably louder than usual, with some reporting that the noise could be heard clearly indoors.

One resident in Milford Haven told The Herald that the sound carried across the Haven during the week.

“I’ve lived here for years and you always hear the range from time to time, but this week it seemed much louder than normal. You could hear it clearly inside the house.”

The Castlemartin Range Complex, located on the south Pembrokeshire coast between Bosherston and St Govan’s Head, is one of the UK’s main live-fire training areas for armoured units.

According to the official MOD firing notice for March, a range of weapons systems are being used during the exercises, including 120mm tank guns, mortars and heavy machine guns.

The 120mm main gun used by modern battle tanks produces extremely powerful shockwaves which can carry significant distances, particularly across water.

During some training periods the range operates during normal daytime hours, typically 7:30am to 4:45pm, but certain exercises include 24-hour firing sessions.

For safety reasons, several roads and footpaths in the Castlemartin area are closed during firing periods, including the road from Bosherston to St Govan’s Chapel and access to parts of the coastline.

A sea danger area is also enforced several miles offshore while the exercises are underway.

Castlemartin has been used by the military since the 1930s and is regularly used by armoured units training with Challenger tanks before deployment on operations or major exercises.

Live firing is scheduled to continue at intervals throughout March.

 

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