Two of Japan's biggest refiners to merge key operations in 2018

Tokyo

JAPANESE refiners Idemitsu Kosan and Showa Shell Sekiyu will combine management of their key businesses, an Idemitsu spokesman said on Tuesday, pursuing a merger bitterly opposed by a core investor - Idemitsu's founding family.

Japan's second and fourth biggest refiners will form an office next spring with a staff of about 300 to manage crude oil purchases, refining and sales, seeking to cut costs by 30 billion yen (S$358.6 million) over three years, Idemitsu spokesman Akitaka Yoshino said, confirming a Nikkei newspaper report.