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Murco deal collapses

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Dead Failed: Murco Milford Haven (IMAGE: MIKE HILLEN/HERALD)

Dead Failed: Murco Milford Haven (IMAGE: MIKE HILLEN/HERALD)

THE DEAL between Klesch Refining Limited and Murco Petroleum Limited has failed it has emerged tonight (Nov 4)

In a statement Murphy oil has said:

“Murco Petroleum Limited a subsidiary of Murphy Petroleum Limited regrets to announce that its agreement to sell the Milford Haven Refinery and terminal assets to Klesch Refining Limited is no longer in effect. Despite every effort by Murphy to complete this sale process, conditions necessary for the sale were not able to be met. The parties are not engaged in further discussions.”

“Murco has run this sale process for over four years, and has engaged with a large number of potential buyers of these assets. The Company has now exhausted all options available for the sale of the site as a refinery, and is therefore left with no choice but to operate the site solely as a petroleum storage and distribution terminal.”

“The refinery is currently in a period of shut-down and will be decommissioned while the company seeks a buyer for the terminal facility along with the three inland terminals. While the terminal facility will continue to employ personnel in Pembrokeshire, this will unfortunately still mean a significant number of redundancies.”

LIVE UPDATES AND REACTION

21.50 HRS

Incredibly disappointed: Stephen Crabb

Incredibly disappointed: Stephen Crabb

Stephen Crabb said tonight “This is an incredibly disappointing outcome. I feel desperately sorry for the workforce and their families who have endured months of uncertainty only for the sale to collapse once again. Right up until late last week everything looked on track. When it became clear that last Friday’s deadline was not going to be met we worked through the night to persuade Murphy to keep talking to the buyer. They showed a lot of good will by once again extending their deadlines but clearly now have taken a view that there is no chance of completion within an acceptable timeframe.

“I am grateful for the enormous efforts made by the Energy Secretary and the First Minister over the weekend in trying to keep the deal moving forward. I genuinely don’t believe there is anything more that could have been done from the UK or Welsh government side to hold this together.

“We all now need to focus on how we minimise the significant economic impact the closure will have on our County. Both the UK and Welsh government will shortly outline a package of measures to help those affected. I am committed to working closely with them to ensure that those losing their jobs get the right support at this time.

I will be holding an open surgery from 12.30pm this Friday at Cedar Court, Milford Haven for Murco employees and families affected to discuss the situation. For further information: Contact my office on 01437 767555.

22.29 HRS

Labour’s Paull Miller has said “Tonight’s announcement is a hammer blow for those working at Murco and for their families. My father and both my brothers have worked on the site over the last 30 years, one brother still does. I know first hand just how devastating this news is for my family and it will be exactly the same for countless families from right across Pembrokeshire.”

22.32 HRS

Economy Minster Edwina Hart has told The Herald: “This is a devastating blow to staff at the Murco refinery and companies within the refinery’s supply chain, as well as the local communities around Milford Haven.”

22.36 HRS

Stephen Crabb MP just tweeted: “Incredibly disappointing news about Murco refinery tonight. Desperately sorry for workforce & their families – endured months of uncertainty”

22.42 HRS

Wales Office minister Baroness Randerson said: “This is extremely disappointing news for the workforce at Murco and their families.

22.45 HRS

Cllr Jon Nutting from the Pembrokeshire Alliance Group contacted The Herald saying: “This is a very sad day for Pembrokeshire and the people who will be directly affected.”

“I hope we are not going to find out down the line that eyes were not taken off the ball. I find it hard to understand that a deal supposedly done and dusted could fall through at such a late hour.”

“This is not the time for those with political power to sit on their hands. We have to try our best to see this as an opportunity, a time to invest not just money in our economy but time and effort. Time for Westminster and Cardiff bay to walk the walk and sort this out. Let’s see if PCC can do anything positive. The worst thing for Pembrokeshire will be if they all wait for someone else to get things moving. Let’s see who is capable of taking up the batten.”

22.52 HRS

Economy Minster Edwina Hart has said in a further statement to the press: “This news is especially disappointing as the Welsh Government did everything we could to support the success of this deal. Working with close co-operation from UK Government departments Welsh Government officials have been fully engaged with both parties at the highest levels for many months to try to secure the ongoing operation of the refinery and protect the jobs at the Milford Haven site.

“Our support for the Murco plant and its staff will not stop here. We have been working with the management at Murco since 2010 to try to maximise the opportunities for the sale of the refinery. In April, I established a task force to marshal support from high level stakeholders for the maintenance of refinery operations at the site for the future. The work of this task force will carry on to maximise the opportunities for employment at the site.

“We will of course all continue to work tirelessly with Murco management to maximise the opportunities for employment at the site, ensure the ongoing viability of the terminal and assist to find a new owner. Workers seeking retraining and employment will receive support through React and we will assist supply chain companies to create and explore new markets and opportunities through Business Wales.”

22.52 HRS 

Stephen Crabb MP tweeting: “Grateful to UK & Welsh Govs for all their efforts to keep Murco refinery deal alive.The closure will be a huge blow to West Wales economy.”

23.01 HRS 

Full statement from Wales Office minister Baroness Randerson: “This is extremely disappointing news for the workforce at Murco and their families. Both the UK and Welsh Government have worked tirelessly throughout this process to try to secure the future of the refinery and it is regrettable that ultimately a buyer has not been able to reach a deal with Murphy Oil. Supporting the staff at Murco is now our immediate concern and we stand ready to assist in any way we can.”

10.10 HRS Wednesday

Delyth Evans, Labour Parliamentary Candidate for South Pembrokeshire told The Herald: “This is a very severe blow to the Murco workforce and their families as well as to the supply chain and the wider community.  I welcome the statement by Welsh Government Minister Edwina Hart that the support provided up till now will not stop here.  Firstly it is essential that every effort is made by Murco, the Welsh and UK Governments to retain as many jobs as possible within the facility and to minimise redundancies.  Secondly, a comprehensive package of support must be provided to those who lose their jobs, and I expect to see the UK and Welsh Governments working together on this.  And thirdly, everything possible must be done to promote and develop the Haven Enterprise Zone as a fantastic place for energy-related businesses to invest with its natural deep water, excellent facilities and the availability of a highly skilled workforce.  There is huge potential in the area to develop the energy technologies we will need for the future, and we must take every opportunity to tell companies in the UK and across the world what Pembrokeshire has to offer.”

 10.22 HRS Wednesday

Alan Card, Union Convener, said: “We are already in talks with both Westminster and the Welsh Assembly Government. Our Regional Secretary is meeting later today with Edwina Hart to look at reforming the task-force. This is a massive blow, not only for Pembrokeshire but also for the whole Welsh economy as the refinery contributes 17% of Wales’ domestic product. I am travelling to Milford Haven today to meet with members and to try and clarify the situation.”

10.26 HRS Wednesday

Commenting on the collapse of a deal to save the Murco oil refinery in Milford Haven, William Graham AM, Shadow Minister for Business, said:  “My thoughts are with workers at Murco and their families as well as all those businesses who are involved in the oil refinery supply chain.

“This terrible news is a body blow for the West Wales economy and will leave thousands of highly skilled workers facing uncertainty as we approach Christmas. I’m sure that both the UK and Welsh Governments will wish to provide as much support as possible to the local community to support families who have lost their source of income.”

Paul Davies, Assembly Member for Preseli Pembrokeshire, said, “I am very upset to hear that this deal has fallen through, with devastating implications for so many Pembrokeshire families. This dire news will leave many Pembrokeshire businesses which were involved in the supply chain with significantly reduced orders and could result in many further job losses.

“I will be doing everything I can to ensure that Pembrokeshire workers affected by this oil refinery closure will receive every possible support to enable them to find new employment.”

10.35 HRS Wednesday

Following the failure of the sale of the Murco oil refinery in Milford Haven, Pembrokeshire County Council has this morning been in contact with the Welsh Government to help reconvene the Murco Task Force, the Authority said in a statement

The high-level body was originally set up by the Welsh Government to support the refinery’s parent company, Murphy Oil, to find a buyer.

The Council is also liaising with other agencies, such as Job Centre Plus and Pembrokeshire College, as well as its own Futureworks/Workways teams in order to offer as much assistance as possible to the refinery employees and the supply chain companies.

Council Leader, Council Jamie Adams, said the announcement by Murphy Oil was “devastating news” for the workforce and their families, especially as the sale of the refinery seemed to have been agreed earlier this summer.

“We will be doing everything we can to soften the blow for the individuals affected,” he added.

11.21 HRS Wednesday

Local Assembly Member Paul Davies has expressed his disappointment that a deal to sell Murco oil refinery in Milford Haven has fallen through.

Mr Davies said, “This is a very sad day for the people of Pembrokeshire and my heart goes out to the workers at the refinery and their families. This is bitterly disappointing news. The refinery employs 400 people, all of whom will need support to find alternative employment. The collapse of this sale is a huge blow to the Pembrokeshire economy and sadly, this may take years for the County to recover.”

He added, “I understand that both the UK and Welsh Governments worked together on this matter and unfortunately, in the end they were not successful. However, both Governments must continue to work collaboratively to secure the refinery’s future. In the meantime, support must be made available to the workers and their families, who now face a bleak period of uncertainty in the run up to Christmas.”

11.24 HRS Wednesday

Pembrokeshire Councillor Ken Rowlands said: “This is devastating news for our communities. My heart goes out to all the families who will be affected. It is a huge disappointment to everyone , when we believed  that a solution had been found at last. Both the Westminster Government and the Welsh Government must do their utmost to alleviate the problems in any way they can during these times of austerity.  This collapse of the negotiations couldn’t have happened at a worse time.”

 11.26 HRS Wednesday

Plaid Cymru AM for Mid and West Wales, Simon Thomas has reacted to the news that hundreds of jobs are under threat in Pembrokeshire as a proposed deal to buy an oil refinery has collapsed. Simon Thomas AM described the news as devastating for employees, their families and the local community.

The Party of Wales Mid and West AM Simon Thomas said: “This is devastating news for employees of the Murco refinery and for their families and I send my deepest sympathies to them. The future looks uncertain for them and I expect the Welsh Government to offer them every support as they move forward.

“The impact of the closure will also be felt in the wider Welsh economy. Milford Haven is an important economic hub and we need to work to make it an attractive location for new businesses to invest with new technologies. Wales is an energy-rich country and can be a world leader again. Milford Haven already has a highly skilled workforce, and the Welsh Government now needs to work to ensure that these skills can unlock new employment opportunities for the workforce at Murco.”

12.04 HRS Wednesday

Local AM, Rebecca Evans said: “This is extremely sad news for workforce at the Murco refinery, and for the local businesses which rely on the refinery for their viability. I know that the Welsh Government pulled out all the stops to try and secure a sale and protect jobs at the site, and I pay tribute to everyone who has worked so hard over many months to try and find a good outcome. I have already asked the Minister to explore what help can be offered to affected workers – for example, via the Welsh Government’s React scheme.”

12.17 HRS Wednesday

Simon Hart MP said: “This is very sad news for everyone involved, especially given that a deal was so close to being signed. To be let down at the 11th hour must be particularly painful.  I know that our County will make every effort to help those affected by this news”

14.25 HRS Wednesday

Edwina Hart MBE CStJ AM, Minister for Economy, Science and Transport has made an Oral Statement at the Welsh Assembly:

Edwina Hart said: “Members will wish to note that efforts by Murphy Oil Corporation to sell the Milford Haven refinery, as a going concern to a third party, have unfortunately proved unsuccessful, following the collapse of negotiations with the Klesch Group, late last night.”

 
“This is a deeply unsettling time for the company, its employees, their families and the wider community in Pembrokeshire.  The Milford Haven refinery has been integral to the fabric of the oil and gas infrastructure in Wales and the Welsh economy for many years, providing for a significant number of high value, high skilled employment  opportunities.
Since 2010, we have been working with Murphy Oil Corporation to maximise the chance of a sale of the refinery as a going concern to a potential third party investor, following a decision by the Board to exit the refining sector in the UK.”
 
“We have been working with the UK Government to support this deal between Murphy oil and the Klesch Group. While the detail of that support is obviously commercially confidential, I can assure Members that every possible route has been explored to make this deal happen.”
 
“I understand that Murphy Oil Corporation will now proceed to convert the site into an oil import terminal and which is likely to result in a number of redundancies at the site. We will all continue to work tirelessly with the company management to maximise the opportunities for employment at the site, ensure the ongoing viability of the terminal and assist to find a new owner for the operation.”
 
“We will of course be assisting any of the workforce in Wales facing redundancy with ReAct support and advice and, continue to work with the company and third party partners to explore all options for maintaining the high value highly skilled jobs in the area.”
 
“In April,  I established the MURCO task force to marshal support from high level stakeholders to support the company and I have therefore asked the MURCO refinery Taskforce to continue that work to maximise the opportunities for employment at the site.”
 
“As a Government, we are determined to do all that we can to support the employer, its workforce and those in the local supply chain, I am therefore strengthening the presence of  Business Wales  in the area to ensure that we provide support and advice for those local businesses that are affected by the closure  to explore new markets and those wishing to set up in business.”
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Community

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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Community

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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