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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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Anzac Day commemoration service held in Milford Haven

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IN a service held on Sunday (Apr 28), the Milford Haven Branch of the Royal British Legion led a poignant commemoration service to mark Anzac Day, honouring the valor and sacrifices of the Australian and New Zealand Army Corps (ANZAC) during the Gallipoli campaign in World War I.

The service, which took place at 11:00am, on Hamilton Terrace, Milford Haven, witnessed a significant turnout.

Attendees included members of the Australian Signals and Signal Company as well as representatives of Milford Haven Town Council and the Milford Haven Sea Cadets.

The service commenced with a welcome and introduction by Lt Col Warren Coetzer, followed by a rendition of the National Anthems of Australia, New Zealand, and Wales, embodying a spirit of unity and remembrance. The anthems were a moving tribute to the camaraderie and international bonds formed in times of conflict.

ANZAC service: Remembering soldiers who fought bravely (Pic: MHTC)

During the service, the Ode of Remembrance was recited, a profound moment that prompted reflection on the courage and fellowship of the ANZAC forces.

The emblematic Rising Sun Cap Badge and the Union Flag were prominently displayed on the event programme, symbolising the service and sacrifice of those who served under them.

Local dignitaries laid wreaths, and a two-minute silence was observed, offering a chance for personal reflection on the cost of war and the price of peace.

Sea Cadets and member of the public at the service (Pic: MH Sea Cadets)

The commemoration concluded with a prayer for peace, leaving the attendees with a message of hope and a renewed commitment to the values for which the ANZAC soldiers bravely fought.

The service was not just a remembrance of past sacrifices but also a reminder of the enduring spirit of the ANZACs, which continues to inspire and guide future generations.

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Survey of Picton Castle reveals groundbreaking medieval architecture

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THE first ever detailed architectural survey of Picton Castle, Pembrokeshire, has revealed a medieval castle ahead of its time in terms of design and high status living. Much altered in the Georgian period, the castle was surveyed by the author, Neil Ludlow, with Phil Poucher of Heneb – Dyfed Archaeology (formerly Dyfed Archaeological Trust) and funded by the Castle Studies Trust: it reveals a sophisticated building fit for royalty.

However, the building was actually built between 1315-20 by a senior royal government official called Sir John Wogan, who held office in Pembrokeshire, Northern England and Ireland and possibly fought on a military campaign in Gascony.

While outwardly it retains much of its medieval flavour, the interiors were extensively made over during the eighteenth century so that it now presents itself first and foremost as a Georgian country seat. But beneath this veneer, much medieval work still survives – though a lot of it is tucked away behind stud-walls, in cupboards, or is otherwise obscured.

Picton’s unique layout makes it a castle of great importance and architecturally ground-breaking for when it was built in the early fourteenth century. Most castles have at least some close parallels, but Picton is effectively one of a kind. Close study shows that it resolves as a central first-floor hall, flanked by services and a chamber-block to form a very early example of the three-unit ‘H-plan’ house.

The gatehouse – unusual in buildings of this kind – led onto an equally unusual ‘grand stairway’ to the hall; a second ground-floor entry probably led to an external kitchen and bakehouse.

The castle’s spatial disposition, access and circulation are meticulously planned, while the domestic appointments show a remarkable level of sophistication for the period, including what appear to be vertical serving-hatches between the ground floor and the service rooms above. At second-floor level, the east towers and gatehouse form two integrated suites of residential apartments either side of a chapel, in a manner firmly rooted within royal planning. The opposite pair of towers, at the west end, seem to have been united internally to form a residential chamber-block, for Wogan’s officials and guests, possibly served by latrines in the former west tower; the present partition walls are later.

Neil Ludlow told The Pembrokeshire Herald: “The enigmatic castle at Picton in Pembrokeshire is best-known for its magnificent Georgian interiors. But beneath this veneer is a medieval castle, from around 1315-20, with a unique layout. A towered hall-block with a pioneering ‘H-plan’, it reveals elements derived from royal planning, and sophisticated domestic arrangements including serving hatches between the floor levels. These innovations show it to have been a castle that was ahead of its time.”

Castle Studies Trust Chair of Trustees Jeremy Cunnington added: “The Castle Studies Trust is delighted to have funded the first ever detailed survey of Picton Castle and to have learned so much more about the medieval form of this unique building.”

Dr Rhiannon Talbot-English, Director at Picton Castle Trust told this newspaper: “Picton Castle has always been something of an enigmatic mystery: hidden gothic alcoves and arches, secret spiral staircases and untouched medieval Undercroft. Picton Castle Charitable Trust is extremely grateful to the Castle Studies Trust for its generous financial support which has enabled this research to be undertaken and we look forward to sharing this new knowledge with the public in a new exhibition about the early castle.”

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Solemn tributes at Freshwater West for WWII maritime tragedy

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IN an emotional gathering at Freshwater West, Pembrokeshire, the public and veterans convened on April 29, to honour the memory of the 85 souls lost in the tragic sinking of Landing Craft, Gun (LCG) 15 and LCG 16 during a brutal storm in April 1943.

The memorial service took place near the scenic, surf-popular beach, where the community assembled to reflect on the calamity that struck during a perilous wartime operation.

The service highlighted the sacrifices made by those aboard the LCGs, as well as six valiant crew members from the HMS Rosemary, who perished while attempting a daring rescue amidst the tempest.

Originally designed as Landing Craft, Tanks (LCTs), LCG 15 and LCG 16 were converted at Belfast’s Harland & Wolff shipyard to support amphibious operations by equipping them with heavy artillery.

Their redesign included the installation of two 4.7 inch guns intended for use during D-Day, suggesting that, had they survived, these crafts and their crews could have played a pivotal role in the Normandy Landings.

The crafts were en route to Falmouth when they encountered severe weather off the coast of Freshwater West.

Compounded by their flat-bottomed design, which was ill-suited for rough seas, both vessels tragically succumbed to the stormy conditions.

Denied shelter at Fishguard, they were compelled to continue towards Milford Haven, a decision that ultimately led to their sinking.

Today, the wrecks of LCG 15 and LCG 16 lie as protected war graves, and a poignant memorial stands overlooking the beach, a testament to the bravery and enduring legacy of the men lost to the sea.

Visitors to the memorial site at Freshwater West, which also hosts another commemorative marker at Thornton Cemetery in Milford Haven, can reflect upon the harrowing experiences faced by wartime naval personnel and the profound impact of their service.

The event served not only as a remembrance but also as an educational experience, particularly for younger generations unaware of the perils faced by their forebears during such tumultuous times.

The memorial at Freshwater West remains open to the public, offering a place for contemplation and respect, against the backdrop of one of Wales’ most beloved surfing beaches, where the echoes of history resonate with the sounds of the waves.

Pictures by Martin Cavaney

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