The Ultimate Guide to Glencore and Chandra Asri’s Takeover of Shell’s Singapore Refinery
Exciting news in the financial world as Glencore and Chandra Asri are on the brink of completing their acquisition of Shell’s iconic Singapore refinery. A new operating company has been established, with approximately 20% of the output reserved for Shell, the current owner. The joint venture, known as CAPGC, is set to finalize the deal in the first quarter of 2025, pending regulatory approval.
Long-term crude supply agreements have been secured with Abu Dhabi National Oil Co (ADNOC), and discussions are underway with other producers to further solidify the partnership. The new entity under CAPGC, Aster Chemicals and Energy, will oversee operations and fuel sales for the refinery.
With this acquisition, Glencore gains access to a wider range of refined products and a new outlet for crude, enhancing its presence and trade volume in Asia. On the other hand, Chandra Asri will expand its market share in the petrochemicals sector, paving the way for growth and innovation.
Shell International Eastern Trading (SIETCO) has signed a two-year agreement with Aster to offtake 20% of the refined fuels production, ensuring a seamless transition for Shell’s service stations in Singapore. The Bukom refinery’s exports of jet fuel and diesel have been steady, averaging around 6.8 million barrels per year.
Overall, this strategic move not only reshapes the landscape of the energy market but also opens up new opportunities for investors and consumers alike. Stay tuned for more updates on this game-changing development!