Apr 30, 2025
Scotland's only oil refinery has permanently closed.
Scotland's only refinery has ceased processing crude oil after 100 years, as planned by its owners, Petroineos, who announced this decision in autumn 2024.
Last September, Petroineos revealed intentions to shut down the Grangemouth refinery due to challenges in competing with newer facilities in Asia, Africa, and the Middle East.
The joint venture between PetroChina and INEOS stated it would convert the site into a finished fuels import terminal and distribution hub by the second quarter of 2025, pending employee consultation.
Iain Hardie, regional head of legal and external affairs, announced, “Grangemouth refinery is no longer processing crude oil,” adding that all necessary transport fuel products will now be imported to meet Scotland's demand.
Opened by BP's predecessor in 1924, the Grangemouth refinery expanded into petrochemicals in the 1950s but could not compete with large new refineries established by major oil companies in recent years, leading to 430 job losses, with about 70 employees remaining for the new fuel import business.
Sir Jim Ratcliffe, owner of Ineos, urged the UK government to reduce the carbon fiscal burden on energy-intensive industries, stating that Ineos faces $20.1 million in obligations under the UK Emissions Trading System.
He emphasized that carbon emissions taxes and high energy costs are threatening British manufacturing and increasing reliance on imports, ultimately raising emissions.
Last September, Petroineos revealed intentions to shut down the Grangemouth refinery due to challenges in competing with newer facilities in Asia, Africa, and the Middle East.
The joint venture between PetroChina and INEOS stated it would convert the site into a finished fuels import terminal and distribution hub by the second quarter of 2025, pending employee consultation.
Iain Hardie, regional head of legal and external affairs, announced, “Grangemouth refinery is no longer processing crude oil,” adding that all necessary transport fuel products will now be imported to meet Scotland's demand.
Opened by BP's predecessor in 1924, the Grangemouth refinery expanded into petrochemicals in the 1950s but could not compete with large new refineries established by major oil companies in recent years, leading to 430 job losses, with about 70 employees remaining for the new fuel import business.
Sir Jim Ratcliffe, owner of Ineos, urged the UK government to reduce the carbon fiscal burden on energy-intensive industries, stating that Ineos faces $20.1 million in obligations under the UK Emissions Trading System.
He emphasized that carbon emissions taxes and high energy costs are threatening British manufacturing and increasing reliance on imports, ultimately raising emissions.