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Murco refinery deal saves 400 jobs

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MURPHY OIL has agreed to sell its Milford Haven refinery in Wales to oil entrepreneur Gary Klesch, who vowed to maintain operations at the struggling plant.

The sale, which follows several failed attempts to sell the 135,000 barrels per day refinery over the past two years, will see Arkansas-based Murphy Oil exit most of its British operations.

The price of the deal was not disclosed.

“We look forward to using our considerable industry expertise to return the site to profitable growth,” a Klesch Group spokesman told The Herald.

“By taking a long-term investment view we aim to secure the future of this refinery for its employees and the broader community.”

Bryan Kelly of Murphy Oil Corporation said: “Murphy Oil is pleased to announce that a deal has been agreed for the sale of the Milford Haven Refinery. We have worked tirelessly to find a workable solution that would see the refinery remain open, and are delighted that a positive outcome has been reached. The company is extremely grateful for the patience and professionalism of Murco employees, without whom a deal would not have been possible.”

Murphy halted production at the ailing plant in May after failing to strike a deal with London-based private equity fund Grey Bull. The Klesch Group is a global industrial commodities business, with three divisions specialising in the production and trading of chemicals, metals and oil.

Stephen Crabb MP said on twitter: “Excellent news for Murco refinery employees as sale moves forward. It’s so important to maintain UK oil refining.”

Stephen Crabb later told The Herald: “I am delighted that Klesch Group have today formally agreed to purchase the Murco oil refinery in Milford Haven, following an agreement in principle reached last month. Gary Klesch has a strong track record of reviving businesses in loss making industries and I was pleased to be able to bring him into the negotiations seven months ago. There is still more work to be done but today’s announcement is very encouraging news for the refinery staff and their families.”

Pembrokeshire County Council has welcomed the announcement: “This is good news for Pembrokeshire, Wales and indeed the whole of the United Kingdom” said the Council’s Cabinet Member for Economy, Councillor David Pugh.

He went on: “The refinery is a key component of the UK energy supply system and its retention supports and strengthens the role of the Milford Haven waterway as a global energy centre – a position recognised in terms of its Enterprise Zone status.

“The refinery supports hundreds of quality jobs in the local and regional economy, both directly and indirectly.

“Safeguarding this skill-set – and the local supply chain – has been an important focus of the Task and Finish Group which the County Council has contributed to.

“We look forward to working with the Klesch Group and take this opportunity to congratulate all partners involved in bringing these negotiations to a successful conclusion.”

The refinery has been a major employer since it opened in 1973.

According to Murco, the deal is still pending regulatory approval and subject to other material conditions.
“This transaction is scheduled to close no later than October 31, 2014”, a spokesman told The Herald.

 

1 Comment

1 Comment

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Local Government

First Minister left red-faced as Labour candidate pulls out during Hakin campaign visit

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Candidate says withdrawal follows ‘abuse’ towards candidate’s son and backlash over Withybush Hospital downgrade plan

THE FIRST MINISTER was left in the embarrassing position of arriving to campaign in the Hakin ward without an active candidate. Labour’s by-election hopeful withdrew from the race on the same day as a high-profile visit to support her campaign.

The visit had been organised to support Labour candidate Nicola Harteveld, but she failed to appear, leaving party activists canvassing in the ward without her and apparently unaware she was about to pull out of the contest.

Harteveld later confirmed she had been considering her position before announcing her withdrawal shortly afterwards.

The former Labour candidate confirmed she was stepping back from the Pembrokeshire County Council by-election following verbal abuse directed towards her youngest son, bringing an abrupt end to the party’s campaign after nominations had already closed.

The development meant Welsh Labour could not field a replacement candidate, leaving the party effectively without representation in the contest despite a scheduled campaign visit by First Minister Eluned Morgan MS and party activists.

First Minister: Eluned Morgan MS, made a video statement backing Nicola Harteveld on Thursday

‘Abuse’ towards child

In a video statement released on social media, Harteveld said the decision followed an incident in which her son was allegedly shouted at by two men while walking home from volunteering.

“My youngest was walking home… and two men on the opposite side of the road shouted across ‘tell your mother she’s a Labour loving c***’,” she said.

She said her son was “absolutely devastated” by the incident.

“My family comes first. I am not prepared to put them in the line of fire to be targeted because of something that I’m doing,” she added.

Final decision

Harteveld, who currently serves as a town councillor, said she had spent several days reflecting on whether continuing in the election was compatible with her personal values before the incident involving her son became “the final straw”.

“My morals, my views and my values will not allow me to take this by-election any further,” she said.

She explained that she had wanted to stand in order to take residents’ concerns directly to County Hall, rather than relying on others to represent them, and believed standing as a Labour candidate would have allowed her to raise issues more directly with decision-makers.

First Minister visit confusion

Earlier the same day, First Minister Eluned Morgan MS and Labour activists were canvassing in the Hakin ward in support of Harteveld, apparently unaware she was considering withdrawing from the race.

Campaign photographs were later shared on social media showing the First Minister and party members canvassing locally. However, observers quickly noticed the absence of the candidate herself, prompting repeated questions online about her whereabouts.

Multiple commenters asked “Where is the candidate?” beneath the post, with the situation attracting significant criticism from some social media users.

Shortly afterwards, Harteveld confirmed she was withdrawing from the election.

A post by the First Minister praising what she described as a “great response in Hakin for Nicola Harteveld & Welsh Labour” while also addressing concerns about Withybush Hospital services was later deleted after attracting a large number of comments, many of them critical of Labour and Welsh Government health policies.

Healthcare tensions backdrop

The by-election campaign has taken place against the backdrop of continuing anger across Pembrokeshire over decisions affecting Withybush Hospital, which Harteveld acknowledged had “rocked our community”.

She described personal experiences of travelling long distances for medical appointments with her partner, saying such situations contributed to frustration among residents.

The hospital controversy has become a dominant political issue locally, with strong emotions expressed during campaigning and on social media.

Political impact

Because Harteveld withdrew after the legal deadline for nominations closed, Welsh Labour cannot substitute another candidate. Her name may still appear on ballot papers depending on printing arrangements, although she is no longer campaigning.

The sequence of events left Labour campaigning in the ward without an active candidate and represents a significant setback for the party locally, particularly given the personal involvement of the First Minister in the visit.

Election background

The by-election, scheduled for Tuesday, March 17, was called following the death of Independent councillor Mike Stoddart, who had represented the Hakin ward for many years.

The remaining candidates are:

Derrick Abbott (Independent)
Sam Booth (Wales Green Party)
Lee James Bridges (Independent)
Duncan Edwards (Independent)
Brian Taylor (Welsh Conservative)
Scott Thorley (Reform UK)
Sam Warden (Welsh Liberal Democrats)

 

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Business

Farmers cautious but resilient as costs remain high across Wales

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Major supplier says confidence lower despite signs of stability returning

FARMERS across Wales are facing another difficult year as input costs remain significantly higher than before the pandemic, according to new industry insight from agricultural supplier Wynnstay Group.

The company, which has deep roots in rural Wales and generates around sixty per cent of its retail revenue in the country, says confidence among farmers is lower than this time last year, with rising costs, policy uncertainty and tightening margins influencing spending decisions.

However, there are also signs of resilience, with many producers focusing on efficiency and forward planning to cope with ongoing pressures.

Wales at heart of business

Wynnstay, originally founded by tenant farmers in Mid Wales in 1918, has grown into a major UK agricultural supplier serving more than 20,000 farming customers through manufacturing sites, stores and on-farm services. The group employs hundreds of staff across the UK and operates a nationwide distribution network supporting livestock and arable producers.

The company says Welsh farming businesses continue to play a central role in its commercial performance and long-term growth strategy.

Cautious investment decisions

According to Wynnstay, farmers are delaying some investment decisions but are increasingly seeking value-driven solutions that improve productivity.

Feed volumes have increased across the company’s Welsh store network over the past year, reflecting demand for blended feeds that offer greater flexibility and cost control. Rather than reducing purchases outright, many farmers are matching spending more closely to performance and output.

Fertiliser demand has also been strong, with sales ahead of last year, although some farmers have delayed buying in the hope prices may fall. Global supply pressures and rising gas costs mean prices are expected to remain firm into the busy spring season.

Costs still far above pre-Covid levels

Industry data shows overall farm input costs remain significantly higher than before 2020, with feed, fertiliser, fuel, electricity and machinery all continuing to put pressure on farm margins.

While some costs have eased from their peaks, they have not returned to previous levels, influencing buying behaviour across the sector.

Margins for livestock and dairy farms were strong last year, but Wynnstay says they are now tightening, particularly in the dairy sector where milk prices have fallen and volatility remains high.

Pressure on family farms

Smaller family-run farms are under greater strain than larger commercial operations, with less financial resilience to absorb rapid market changes. Reports of rising closures among family farms, particularly in dairy, reinforce concerns about the sector’s long-term sustainability.

Government policy changes are also contributing to uncertainty. The transition away from the Basic Payment Scheme and wider tax reforms have led many farmers to postpone larger investments until there is clearer long-term stability.

Local reaction

Pembrokeshire farmer Chris James said the situation reflected what many farmers were experiencing locally.

“We’ve definitely noticed the squeeze over the past year or two,” he said. “Costs for feed, fertiliser and fuel are still much higher than they used to be, and that makes you think twice about every decision. Most farmers I know aren’t cutting back on production — they’re just trying to be more efficient and careful with spending.”

He added: “People want to invest and move forward, but it’s hard when you don’t know exactly what the long-term policy picture will look like.”

NFU Cymru has also warned that rising costs and policy uncertainty continue to weigh heavily on farm businesses across Wales, with confidence affected by concerns over future support schemes and wider economic challenges. The union has called for greater long-term certainty to allow farmers to invest with confidence and maintain domestic food production.

Weather shocks impact behaviour

Extreme weather during 2025 — including a very dry spring followed by periods of intense heat and a challenging wet autumn — also affected purchasing patterns, with farmers spacing orders and prioritising essential inputs as conditions changed.

Ordering behaviour is now returning to more normal patterns as conditions stabilise.

Outlook for 2026

Despite ongoing pressures, Wynnstay says it is cautiously optimistic about the year ahead.

Many farmers are making careful decisions around efficiency, nutrition and planning, and the company believes there are opportunities for businesses to strengthen their position through 2026 with good cost control and smart investment.

Summing up the sector, the company said Welsh agriculture remains resilient, with farmers showing determination and adaptability despite continuing challenges.

 

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Community

Community meeting planned to secure future of historic Boncath building

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Residents invited to support bid to buy former WI meeting room for community use

A PUBLIC meeting has been called in Boncath as residents prepare plans for a community buy-out of a historic corrugated iron building that has served local people for generations.

Villagers will gather at Boncath Village Hall on Tuesday (Feb 24) at 7:00pm to discuss proposals to purchase Bwthyn Boncath — the former Women’s Institute meeting room — and transform it into a community heritage space for the village.

WI members support community purchase

Local WI members have already agreed to offer the community first refusal on the building, paving the way for a potential community-led purchase.

Supporters say the project would preserve an important piece of local heritage while creating a flexible space for events, exhibitions, and activities in the heart of the village.

PLANED helping lead initiative

The meeting will be led by Cris Tomos of PLANED, the community development charity that previously helped facilitate the community purchase of Tafarn Sinc in Rosebush in 2017.

Mr Tomos said the Boncath project could become another example of successful community ownership in North Pembrokeshire.

He said: “It would be great to have another corrugated building owned by the community in North Pembrokeshire — especially in 2026 as Tafarn Sinc celebrates its 150th anniversary.”

Organisers estimate that around £12,000 will be needed to secure the purchase, with further fundraising planned to support restoration and future use.

How to get involved

Anyone interested in supporting the project or learning more is encouraged to attend the public meeting.

Further information is available via the Bwthyn Boncath Facebook page or by contacting PLANED on 01834 860965.

Photo caption: Community members gather to support plans for the purchase of Bwthyn Boncath (Pics supplied).

 

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