(May 14): Japanese refiner Eneos Holdings Inc has agreed to purchase some of Chevron Corp’s refining and retail assets across the Asia Pacific for US$2.17 billion significantly expanding its footprint across the region.
The assets include Chevron’s 50% stake in a refinery in Singapore, along with other assets in the city-state, Malaysia, the Philippines, Australia and Indonesia, according to a statement from the Tokyo-listed company. Eneos is Japan’s biggest oil refiner, operating crude processing plants and fuel retail networks across the country.
The transaction gives Eneos its first stake in a refinery outside of Japan, and a stronger presence in Asia’s oil-trading and supply hub of Singapore. The group has been expanding its trading team in the city-state to handle more paper market instruments including derivatives, as well as other roles.
“While petroleum demand in Japan is expected to continue declining over the medium to long term, demand in Southeast Asia is expected to grow, supported by economic development in the region,” according to the statement.
Chevron agreed to sell its Hong Kong fuel business to Bangchak Corp for US$270 million earlier this year, while other oil majors including Exxon Mobil Corp have sold assets in Southeast Asia in recent years. Shell Plc sold its refining and chemical facilities on Singapore’s Bukom and Jurong islands to a joint venture between Indonesian plastics PT Chandra Asri Pacific and Glencore Plc.
Uploaded by Evelyn Chan
