Chevron plans to finalise Singapore oil assets sale in Q1: sources

[SINGAPORE] Chevron plans to close a deal to sell its oil refining and distribution assets in Singapore in the first quarter of the year, as it engages in a final round of talks with Eneos and Glencore, four sources with knowledge of the matter said.

The assets for sale include Chevron’s stake in a refinery, a terminal and retail stations in Singapore, they added.

Chevron is also looking to include retail stations in Cambodia and Malaysia in the deal, one of the sources said.

Together, these assets are valued at US$1 billion or more, two of them revealed.

The sale is part of the company’s plans to divest refining and storage assets in Asia, as it restructures globally to streamline operations and reduce costs.

Chevron, Eneos and Glencore declined to comment.

Reuters reported on the sale of the refinery stake previously, but details of the other assets being offered are not publicly known.

Morgan Stanley, which has been appointed by Chevron to handle the sale of the Singapore Refinery Company (SRC) refinery stake and other assets in Asia, declined to comment.

Boston Consulting Group is advising Eneos on this deal, two sources said. The company declined to comment on the matter.

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Chevron has a 50 per cent stake in SRC, with partner PetroChina holding the remaining stake through its Singapore Petroleum unit.

SRC runs a 290,000 barrel a day refinery in Singapore.

The deal also includes Chevron’s Penjuru terminal, which has more than 400,000 cubic metres of oil storage capacity, the company’s website showed.

Chevron blends and supplies transportation fuels, base oil, marine and finished lubricants from the terminal.

Retail gas stations under Chevron’s Caltex brand in the region include some 420 outlets in Malaysia, 26 in Singapore and 53 in Cambodia, its website revealed.

Securing a fuel terminal and storage tanks at major fuel-blending and bunkering hub such as Singapore will allow the buyer to have easy distribution access to South-east Asian import markets, analysts said.

Japan’s largest refiner Eneos and global commodities trader Glencore are looking to expand and boost their trading portfolio and volumes in this region, the sources said.

It will be the first refining asset for Eneos in Asia outside of Japan if it succeeds in its bid.

The refiner operates nine refineries and more than 12,000 retail stations in Japan, as well as a joint-venture (JV) plant with PetroChina in China.

“For base businesses, we are considering the expansion of our overseas fuel oil business through asset acquisition, and planning to expand jet fuel-related facilities to respond to the demand for inbound travel, which is growing every year,” Eneos said in its 2025 report.

Glencore, which owns a refinery and distribution network in South Africa under its subsidiary Astron Energy, expanded its refining presence after buying Bukom refinery in Singapore, through a JV with Indonesia’s Chandra Asri. REUTERS