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Grangemouth (Scotland) Refinery Closing In Advance Of Strike - May Force Gas Field Shutdown [View All]

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hatrack Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Apr-21-08 04:07 PM
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Grangemouth (Scotland) Refinery Closing In Advance Of Strike - May Force Gas Field Shutdown
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Edited on Mon Apr-21-08 04:07 PM by hatrack
LONDON, April 21 (Reuters) - A major British refinery cut production on Monday ahead of a worker's strike planned for next weekend, sending fuel price futures soaring and helping drive oil to a new record high above $117 a barrel. Workers at the 200,000 barrel a day Grangemouth refinery in Scotland, which is integrated with a large petrochemicals plant, have threatened a two-day strike on Sunday over pension cuts.

A shut-down at Grangemouth could also cut flows of North Sea crude into Britain and hit British gas supplies if the Forties pipeline, which feeds the refinery, is forced to close. Refinery owner Ineos' Communications Manager Richard Longden said the shutdown was starting on the petrochemicals side and moving to the refinery. "It will take about a week from start to finish," Longden said by telephone.

Ineos said it was shutting a primary distillation unit, which takes in North Sea crude and processes it for further refining into consumer fuels.


A spokesman for Ineos said on Friday the refinery's closure would have a "significant impact" on the Forties pipeline which brings crude oil from a number of North Sea fields into Britain at Grangemouth. British oil major BP (BP.L: Quote, Profile, Research) owns the Forties Pipeline system, which carries on average around 700,000 barrels per day of crude oil from the North Sea. If that pipeline were to shut, it could also force the closure of the Britannia gas field, cutting gas flows to British consumers

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