Chevron move threatens 1400 jobs at Welsh refinery
10 Mar 2010
London – Chevron is “soliciting bids” for its refinery at Pembroke, west Wales, as part of a group-wide plan to streamline its downstream operations in Europe. About 600 staff and 800 contractors work at the site, which is capable of processing 220,000 barrels of crude oil a day.
The group is also looking at similar moves in the Caribbean and some Central America markets. reviewing operations in Hawaii and Africa, outside of South Africa – towards concentrating its downstream portfolio in North America and Asia-Pacific.
Mike Wirth, executive vice president, global downstream at Chevron, said the move was in response to downstream market conditions, which were likely to be difficult for the next few years.
Chevron is “also rapidly and aggressively lowering costs, reducing capital spending, improving efficiency and simplifying our organization,” said Wirth, noting that staff reductions will occur through 2011 with about 2,000 positions eliminated this year.
Responding to the announcement, Jeff Beck GMB regional officer said: “This refinery is a huge employer in West Wales. It is essential that the UK and Welsh Governments ensure that who ever buys this will pledge to keep it open. We can not have another Corus situation in West Wales. GMB will be seeking talks with all concerned to ensure that employment is safeguarded.”