Phillips 66 has agreed to buy the collapsed Prax Lindsey oil refinery out of administration, but revealed plans to integrate the operations into a neighbouring site in north-east Lincolnshire.
The Insolvency Service said that around 250 staff employed at the refinery in North Killingholme will have their jobs guaranteed until the end of March.
Phillips 66 said it had decided to not restart standalone refinery operations at the Lindsey site because it was not “viable in current form”.
It will instead integrate key assets into the neighbouring Humber Refinery operations, which the company already owns.
Paul Fursey, Phillips 66 UK lead executive, said: “We recognise and deeply sympathise with how difficult the closure of the site has been for the workforce and the local community.
“This sale is the best way forward to secure jobs, bolster the local economy and encourage investment in the region.”
The Government’s official receiver took control of the Lindsey operation, which is one of the UK’s few oil refineries, after owner Prax Group collapsed into insolvency in June.
