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REFINERY SALE A STEP CLOSER

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  • gb capitalLondon based investment firm tipped to purchase Murco plant
  • Greybull Capital tipped to buy the struggling refinery
  • Plant and retail petrol stations would continue operating

MURPHY OIL is in advanced talks to sell its Milford Haven refinery to a low-profile private equity fund that will continue operating the struggling plant, sources familiar with the situation said on Tuesday.

The American oil giant has been trying to sell the 135,000 barrels-per-day plant and its Murco petrol stations for around four years. But buyers who were willing to keep it running have proved elusive as European refineries fight for survival due to failing demand.

A deal is now moving closer with London-based Greybull Capital after it had agreed to fund a major planned maintenance at the plant within the next 18 months, sources said.

“There is a form of agreement pending finance,” said a source close to the negotiations.The maintenance turnaround at Milford Haven was expected to cost less than $75 million, the source said. The full cost of the deal was unclear.

The source said that a commitment to fund the turnaround was vital to prevent any buyer from running the plant for a short time before closing it down to sell assets, or demand a government bailout. Greybull has in the past focused on financing deals to buy struggling British high street chains such as the ultimately doomed electrical goods outlet Comet. It declined to comment on the Milford Haven discussions.Greybull would probably need to partner with either a commodity trading house or a bank with trading capabilities in order to secure the funding for the deal to keep the 450 employees in place.

“They are trying to raise the money in order to keep the work force in place,” an industry source said.

A spokeswoman for Murco, the Murphy Oil subsidiary that operates the refinery, confirmed talks for the sale of the refinery were coming closer to a conclusion.

“Discussions with regard to the sale of the Murco UK business by its U.S. parent, Murphy Oil Corporation, are ongoing and are at an advanced stage,” Emma Murphy said in an email.

Retail Outlets

Murco’s 400 petrol stations across the country would also be part of the deal.

“The buyers will purchase the Murco name and the supply system which will continue to supply the Murco petrol stations,” the industry source said.

Murco also operates three storage and distribution terminals in Britain which are supplied by rail from the refinery and handle around 2 million tonnes of oil product a year, according to the company’s website.

The Welsh plant, like other British and European refineries, has struggled in recent years due to weak demand in the region and in its U.S East Coast export market, as well as growing competition from U.S., Russian and Asian plants – factors which have hammered margins.

India’s Essar Energy said last month it will shutter one third of its production capacity at Britain’s second-largest oil refinery Stanlow.Last year the Grangemouth refinery in Scotland was brought to the brink of closure following a bitter industrial dispute, after owner Ineos said it needed to slash costs to keep it viable.

This followed the closure of the Coryton plant owned by bankrupt Petroplus which closed in 2012. Greybull is led by the brothers Nathaniel and Marc Meyohas, who operate from a small office in London’s Knightsbridge. The pair try to keep a low profile but shot to fame two years ago when they were involved in the Comet scandal.

Greybull was among the backers that had bankrolled a buyout of the electricals retailer by the former banker Henry Jackson, who sparked outrage when he pulled the plug on Comet just months later, triggering thousands of job losses.

The investment company has declined to comment on their plans over the Murco site. Councillor David Pugh, Cabinet Member with Responsibility for Economy, Tourism, Communities and the Voluntary Sector, said: “We have been aware for some time that Murco is in advanced discussions with a potential purchaser. We are pleased to hear that these negotiations are now nearing completion and that the future of the Refinery is looking more secure.

He added: “Our officers, together with the Welsh Government’s Energy and Environmental team, are in regular contact with Murco and the company is aware of our support for them and whoever acquires the business.”

Who is behind Greybull Capital?

behind greybull

THE OFFICES of Greybull Capital are discreetly placed in the heart of London’s upmarket Knightsbridge.

These are the offices of the company reported to be behind the proposed purchase of the Murco’s operations in the UK, including petrol stations and crucially for Pembrokeshire the refinery at Milford Haven.

Behind tinted windows, brothers Marc and Nathaniel Meyohas have been behind the financing of takeovers of well-known troubled brands and High Street names, such as Game and most famously Comet. Last year the company was involved in the rescue and restructuring of Metaltrax, a West Midlands-based manufacturer of bakeware and kitchen accessories, saving a reported 387 jobs.

Greybull was closely involved in the investor group behind OpCapita’s purchase of troubled electrical retailer Comet. The withdrawal of support by a key American investor before Christmas 2012 caused Comet to collapse with the loss of 7,000 jobs at the retailer’s stores nationwide.

Before founding Greybull Capital, Marc Meyohas was the founder and CEO of Cityscape a leading provider of digital urban networks in the UK. Nathaniel Meyohas is no stranger to the petrochemical industry, having in the past been involved in arranging a shareholder loan of $40m to multinational company Manoir Industries.

Most recently Greybull Capital have acquired the British assets of plastic bottle maker Constar for a reported $8m.

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Community

Public reminded to stay away from Ward’s Yard and Criterion Quay

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THE PORT of Milford Haven is reminding members of the public to stay away from Ward’s Yard in Milford Haven and Criterion Quay (sometimes known as the offshore jetty) in Pembroke Dock due to concerns over public safety. 

Despite significant security measures, people continue to access the sites illegally, ignoring and sometimes damaging the onsite signage and fences.

Niall Yeomans, Head of Health, Safety and Security at the Port of Milford Haven said: “Safety is our key priority. Members of the public are continuously putting themselves and members of our team at risk of serious harm by trespassing in these areas.”

“Both Ward’s Yard and Criterion Quay are unsafe for public access. They are isolated areas next to deep water and are susceptible to slips, trips and falls.”

Both sites are owned by the Port of Milford Haven and are private property. Anyone found onsite without consent is trespassing, and any criminal damage could result in prosecution.  

Anyone who sees any suspicious activity at Ward’s Yard or Criterion Quay is asked to contact Dyfed Powys Police on 101 urgently.

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Crime

‘Sophisticated’ organised crime gang trafficked cocaine and cannabis to Aberystwyth

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FIVE people have been found guilty or admitted to conspiring to supply cocaine and cannabis as Dyfed-Powys Police continues its efforts to dismantle organised crime gangs.

Officers seized cocaine with a street value of more than £400,000 from gang members, who continually changed tactics to avoid arrest.

Six defendants have appeared in court in the latest phase of Dyfed-Powys Police’s Operation Burleigh, which sought to disrupt the trafficking and onward supply of class A and B drugs into Aberystwyth, with all but one admitting their charges or being found guilty by a jury.

This brings the total number of people awaiting sentence under the operation to 15.

The court heard that officers from Dyfed-Powys Police’s Serious and Organised Crime Team and Ceredigion Priority Policing Team led the investigation into the OCG, which was described as ‘sophisticated, well-organised and evolving’.

Detective Sergeant Steven Jones said: “This conspiracy operated on a County Lines model, where controlled drugs are trafficked into a smaller rural town from a larger city, and the operation is controlled by one or more ‘drugs lines’.

“In this case there were a total of four lines controlling the supply of cocaine and cannabis within Aberystwyth.

“The conspirators frequently evolved their actions to frustrate the authorities and evade capture.”

The OCG embedded members were mainly asylum seekers brought to Aberystwyth by Toana Ahmad and another man who remains outstanding, with the sole purpose of dealing drugs. The drug lines were initially based in Swansea, and later in areas of Birmingham. 

Three properties – on Terrace Road, Alexander Road and Parc Graig Glas – were identified early in the investigation as being used to house the OCG members embedded in Aberystwyth. Substantial amounts of cash, controlled drugs and weapons were recovered from these properties, and from the people found inside. 

When arrests were made, the gang changed its tactics. Drugs began to be supplied from vehicles, and OCG members stayed in guest houses to avoid detection.

DS Jones added: “Trusted couriers were employed to transport drugs to Aberystwyth and cash back to Birmingham or Swansea. A number of vehicles, including taxis, were used as the gang attempted to avoid detection along the route, while trains were also taken when courier cars were stopped by officers.”

In June 2023, two vehicles travelling from the West Midlands towards Aberystwyth were stopped by police on consecutive days. A black sock was uncovered in the engine of the first car, which was found to contain 82g of high purity cocaine divided into 169 grip seal plastic bags.

Davinder Singh, who previously pleaded guilty to conspiracy to supply class A and class B drugs, was the driver of the second vehicle, which was a taxi. A blue plastic bag was seen falling out of his shorts, which contained over 81g of high purity cocaine divided into 167 grip seal bags. 

DS Jones said: “On the basis that the amounts of cocaine transported over the 37 couriers over the course of the conspiracy period were similar, over 3kg of cocaine would have been conveyed to Aberystwyth from Birmingham.

“This equates to class A drugs with a potential street value of over £308,950.  In addition to this, class A drugs were seized from individuals and addresses with a potential street value of £103,445, along with cash totalling £11,687.

“A number of teams and departments across Dyfed-Powys Police, from analysts, CCTV operators and priority policing teams, to CAB, the Technical Support Unit, Economic Crime Team and Force Intelligence Bureau all assisted in dismantling the OCG from top to bottom.

“Their dedication and relentless efforts have assisted in making Aberystwyth a safer place to live without the threat and harm of drugs being made easily available on the street.”

After a seven-week trial at Swansea Crown Court earlier this year, the following three defendants were found guilty for their parts in the conspiracy:

  • Toana Ahmad, aged 33, of Lee Gardens in Smethwich, West Midlands
  • Barzan Sarhan, aged 31, of no fixed address
  • Ahmed Piro, aged 26, of no fixed address

The jury failed to reach a verdict on two defendants during the earlier trial. They have been subject to a retrial starting on July 1, with the following outcomes:

  • Hawre Ahmed, aged 35, of Pinderfields Road, Wakefield, West Yorkshire, was found guilty by the jury of conspiracy to supply Class A and B controlled drugs.
  • Diar Yousef Zeabari, aged 35, of Flat 5, 41 Bryn Road, Swansea, was found not guilty of conspiracy to supply Class A and B controlled drugs.

Karwan Karim, aged 39 of 125 Griffith John Street, Swansea, also stood trial, and pleaded guilty to conspiracy to supply Class A and B controlled drugs on day three.

In addition to the OCG members found guilty during the most recent trials, the following have previously pleaded guilty to charges of conspiracy to supply class A and class B drugs under Operation Burleigh:

  • Davinder Singh, aged 36, of Huntingdon Road, West Bromwich
  • Daban Khalil, aged 23, of Streetly Road, Birmingham
  • Kastro Omar, aged 30, of Junction Road, Northampton
  • Karwan Jabari, aged 26, of Weedon Close, Northampton
  • Walid Younis Abdal, aged 34, of St Anne’s Road, Doncaster
  • Saman Aziz, aged 41, of Kirk Road, Merseyside
  • Adel Mustafa, aged 39, of Hubert Road, Newport
  • Charlotte Roberts, aged 21, of Sutton Hill, Telford

The following have previously pleaded guilty to conspiracy to supply class A drugs:

  • Akasha Smith, aged 24, of Third Avenue, Aberystwyth
  • Luqman Jarjis, aged 21, of Wake Green Road, Birmingham
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News

Community asked for views on allocation of new St Davids homes

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THE FIRST phase of Pembrokeshire County Council’s Glasfryn housing development in St Davids is progressing well with the second phase also underway.

The development being built by GRD Homes Ltd, began in November 2023, with a first phase completion date of Winter 2024 looking hopeful, ahead of the scheduled plans.

The first phase consists of seven properties, including a mixture of one and two bedroom bungalows

As completion draws closer the properties will be advertised via Pembrokeshire Choice Homes.

Ahead of this, the Council’s housing team will be holding community engagement on the 13th August 2024 at the Ty’r Pererin Centres, Quickwell Hill, St Davids, SA62 6PD, 5pm-7pm.

This will be a chance for officers to liaise with the local community about the allocation process for these properties.

Glasfryn’s second phase is well underway, with the initial groundwork already completed. This phase includes a further 11 two bedroom bungalows, with a completion date in late 2025.

These bungalows will meet the latest Welsh Government’s Development Quality Requirement, and will be energy efficient, built to EPC A specification and include solar panels to help tenants with running costs.

The Glasfryn development is funded in partnership with Welsh Government.

Cabinet Member for Housing Cllr Michelle Bateman said: “We are really keen to work with the community on a local lettings policy for these new properties, as we have done for our developments in other parts of the County.”

If you have any queries please email the Customer Liaison Team on [email protected], phone them on 01437 764551, or visit Housing’s Facebook page.

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