Indonesia’s Chandra Asri to buy ExxonMobil’s Singapore Esso petrol kiosk chain
The deal is said to be valued at around US$1 billion
[SINGAPORE] Chandra Asri Pacific on Friday (Oct 24) said it would acquire ExxonMobil’s network of Esso-branded retail fuel stations in Singapore.
The Indonesian company said in a statement that it has entered into a sale and purchase agreement through a special purpose vehicle under its wholly owned subsidiary.
The deal, which includes nearly 60 stations and associated supply agreements, is expected to be completed by the end of this year, subject to regulatory approvals. While the value of the transaction was not disclosed, an earlier Bloomberg report said it could be about US$1 billion.
Responding to queries from The Business Times, an ExxonMobil spokesperson said: “The decision to move to a branded wholesale model aligns with how we market fuels around the world and reflects our ongoing efforts to strengthen our business portfolio.”
The spokesperson added that the sale does not impact the company’s integrated manufacturing site in Singapore, which continues to provide fuels to its commercial customers in the region and globally.
Chandra Asri will continue to sell Esso-branded fuels and will operate the service stations under the Esso brand.
BT in your inbox
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
The spokesperson said that ExxonMobil expects business to continue as usual during the transition period, and that it will work with Chandra Asri to provide a smooth experience for its customers.
A few ExxonMobil employees who support the retail fuels business will move over to Chandra Asri as part of the transition, said the spokesperson, noting that service station staff are employed by operator FairPrice or its agents.
Meanwhile, a spokesperson for Chandra Asri said the group will take on “all the relevant ExxonMobil staff running the business”.
On plans to expand the retail network, the spokesperson said: “We continue to evaluate programmatic mergers and acquisitions that support the group’s operating parameters.
“We also embrace innovations that create a high-value energy ecosystem that aligns to our long-term vision of building a sustainable and diversified energy portfolio.”
Chandra Asri said the acquisition “aligns with the company’s long-term growth strategy, which focuses on developing integrated energy infrastructure for the energy and mobility solutions market in Singapore and South-east Asia”.
The move will aid the group’s regional expansion and leverage Singapore’s “robust retail fuel network and strong business climate as a solid foundation for growth”, it added.
Erwin Ciputra, the company’s president-director, noted that the acquisition reinforces Chandra Asri’s position as a leader in energy solutions, manufacturing and infrastructure in the region.
On potential changes or upgrades to the Esso stations, such as sustainability-focused offerings, Chandra Asri’s spokesperson said that while electric vehicle (EV) demand will increase, it expects a managed transition period where petrol vehicles will remain in use.
“Chandra Asri group is committed to enabling a low-carbon future, and we will continue to invest in Aster’s presence in Singapore towards renewable power solutions and innovation for green growth opportunities.”
The group will continue to use the Esso brand and purchase branded fuel from ExxonMobil. It will also maintain all existing customer loyalty points and cards.
The latest announcement confirms a Bloomberg report last December that ExxonMobil was working with financial advisers on the disposal. While discussions were at a preliminary stage then, there was reportedly interest from industry players and investment funds.
The sale of ExxonMobil’s petrol stations in the city-state follows similar divestments elsewhere.
In 2017, the oil major agreed to sell around 1,000 Esso-branded petrol stations to UK-based EG Group and convert into a branded wholesaler model in Germany, as part of a 20-year partnership deal.
The proposed divestment comes at a time when global demand for petrol has dipped, driven by a shift towards EVs.
In September 2023, for instance, ExxonMobil sold its majority stake in Esso Thailand – including its network of petrol stations – to Thai energy firm Bangchak Corporation. The deal was valued at about 20.1 billion baht (S$780.8 million).
The group said then that it was focusing its investments on global production facilities to meet the world’s demand for lower-emissions fuels and high-performance products.
More recently, in September 2025, ExxonMobil was reportedly seeking to offload its European chemical plants in the UK and Belgium as the sector reels from the impact of the US tariffs and competition from China.
The US energy producer was said to have held early-stage discussions with advisers on possible sales, which could fetch up to US$1 billion.
Copyright SPH Media. All rights reserved.
