The administrators of Petroplus’ Coryton refinery in Essex have today signed a tolling agreement, securing crude oil supplies for the next three months.
The tolling agreement – involving a collaboration of Morgan Stanley Capital Group Inc (MSCGI), KKR Asset Management, LLC, and AtlasInvest – allows the refinery to continue to operate as usual while the administrators negotiate with potential purchasers. Options being explored include a sale of the business and re-financing.
Steven Pearson, joint administrator and partner at Price Waterhouse Cooper (PwC), said: “I am delighted to have reached this arrangement. It is the culmination of constructive negotiations over many days and it creates vital stability at the refinery while we find a restructuring solution. We now look forward to working with MSCGI, KKR and Atlas over the coming weeks and months to jointly ensure all long-term options are examined.
“I would also like to personally thank the customers, suppliers, employees, union, subcontractors, management and the PwC and legal teams for their constructive approach in allowing us to reach this agreement,” added Pearson. “This collaborative approach has been central to ensuring this arrangement could be concluded so quickly in very difficult circumstances.”