The Prax Group agrees exclusive crude oil supply arrangement with Trafigura
UK, March 1, 2021 - The Prax Group, a leading independent oil refining, trading, storage, distribution and retail conglomerate dealing in petroleum products and bio-fuels, has announced that it has completed an exclusive crude oil and feedstocks supply arrangement with Trafigura, a market leader in the global commodities industry.
Under the terms of the transaction, Prax will purchase crude oil and refinery feedstocks from Trafigura for all of its requirements for Prax Lindsey Oil Refinery, located near Immingham in the Humber estuary, in the North East region of the United Kingdom.
Under the new agreement, Trafigura will use its extensive global reach in international oil markets to source the optimal range of crude oils and feedstocks for the refinery. Other details relating to the transaction remain confidential.
Sanjeev Kumar, CEO of the Prax Group, said: “This arrangement is an important step in the Group’s plans for the long-term growth of the refinery and it will pave the way to further strengthen our long-term relationship with Trafigura. It will provide operational and planning flexibility, helping us to continue to deliver an excellent level of service to our customers.”
Jose Maria Larocca, Executive Director and Co-Head of Oil Trading for Trafigura, said: “Trafigura is delighted to be working with the Prax Group following their new refinery acquisition. We’re committed to supporting our customers by providing access to the best opportunities available in the global commodity markets.”
The Prax Group took over ownership of Lindsey Oil Refinery from Total today, on 1 March 2021. With an annual production capacity of 5.4 million tonnes, the acquisition underpins the Group’s long-term strategy to be fully integrated across the oil value chain from upstream to downstream and secures local supply for the trade and sale of oil products for its substantial downstream presence in the United Kingdom.
Notes to Editors
Headquartered in the UK, the Prax Group is a leading independent oil refining, trading, storage, distribution and retail conglomerate dealing in petroleum products and bio-fuels. The Group has established principal offices in London, Houston and Singapore, and additional satellite offices across the world.
With offices in 48 countries, Trafigura is an independent, employee-owned physical trading and logistics business. The organisation’s activities put them at the heart of the global economy, forging robust connections and responsible supply chains through a global network, efficient logistics and unparalleled market understanding. Trafigura’s end-to-end services connect producers, processors and consumers worldwide.