Jet brand owner Phillips 66 has made a long-term commitment to its supply chain in the north of England by agreeing a 16-year deal with one of its major partners.
It has entered into a long-term throughput contract to December 2033 with CLH Pipeline System (CLH-PS).
Under the contract, which takes effect from 1 February 2018, Phillips 66 will continue to supply a significant volume of petroleum products from its Humber Refinery into the CLH-PS pipeline at Killingholme, North Lincolnshire, each year.
Using its pipeline network, CLH-PS will transport this material to the Bramhall Terminal in Greater Manchester, from where it will be delivered to Phillips 66 wholesale and retail customers via the Bramhall Terminal road rack. As part of this agreement, Bramhall Terminal will be operated and maintained by CLH-PS.
Mary Wolf, managing director, UK marketing at Phillips 66, commented: “This contract demonstrates our long-term commitment to the North West and further strengthens our presence and reputation in this region as the fuel supplier of choice.
“As part of this contract, extensive capital investments have been made to enhance Bramhall Terminal’s capability and significantly expand our customer offering in the region. Bramhall is now fully equipped as a retail terminal, offering a complete suite of retail grades, namely diesel, our premium Sentinel Diesel, unleaded and super unleaded. We are delighted to be entering into this 16-year contract with CLH-PS, which has a proven track record of providing a high-quality service in Spain.”
Nacho Casajus, chief executive officer of CLH-PS, added: “We are very pleased to announce this long-term agreement with Phillips 66, which reflects our commitment to the UK market and our ability to offer a safe and efficient service to our clients. It also continues our strategy of insourcing our terminals into CLH operation so we are able to offer an integrated, first-class service to our customers.”
Bramhall Terminal is a key fuels supply terminal in the UK network and an important hub in Phillips 66’s logistics infrastructure, having been leased and operated by the company since 1968.
The terminal is backed by a storage capacity of 44 million litres and Phillips 66 says it is capable of supporting increased demand for fuel supply in the coming years.