MAY 2014

FUEL SUPPLY FUEL POLISHING SAFETY CLOTHING Sponsors of BTCC Rob Austin Racing Team A company driven for 2014 Season by proven results FAST's fuel additives are concentrated, technically-driven products designed to match or improve upon the best in class for any application.

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Contact your fuel supplier or machinery specialist Fuel Additive Science Technologies Ltd. Like us on Unit 29 Atcham Business Park, Shrewsbury, Shropshire SY4 4UG • Office: +44 (0) 1743 761415• Fax: +44 (0) 1743 761075 Facebook Block A, Unit 7, Airside Enterprise Centre, Swords, Co. Dublin • Office: +353 (0) 1 808 4805 • Fax: +353 (0) 1 808 4789 Follow us For more information please e-mail [email protected] or visit www.fastexocet.co.uk on Twitter Family values

‘Thriving’ – that’s how family run on quality and traditional values.’ businesses are described in a Global So what special qualities defi ne the The monthly magazine for the fuel distribution, storage Family Business report by PwC. By strong family fi rm? An entrepreneurial and marketing industry in the UK and Ireland. 2018 family businesses will contribute mind-set; longer-term thinking and £218bn to the British economy. In a broader perspective; quicker and terms of employment opportunities, more fl exible decision-making; a 4-5 NEWS family businesses will also create 6m greater commitment to jobs and the jobs; a larger fi gure than the jobs that community; strong values; and a more 7 FPS EXPO – EXHIBITION PHOTOS will be created in the public sector. personal approach to business based Despite consolidation and the on trust. 9 ANALYSIS entry of much larger concerns, half The report says that the survival of A feeling of insecurity of the companies listed in the Fuel Oil family fi rms comes under most threat News top 20 fuel oil distributors are when passing from the fi rst to the 11 INSIDE OUT No easy decisions at Whitegate still family run. Just below these upper second generation. Having successfully echelons, the ranks of family businesses negotiated the pitfalls of scale, skills 13 IRISH NEWS rise steadily. and succession over generations, this is Mark Hobbs is the 4th generation a point that many family businesses in 15 TRADE & TECHNICAL to run Gloucester-based Hobbs fuel distribution have long since passed. Mechtronic 10th anniversary Brothers. This year, the business For one small family business which was started by Mark’s great in South Wales – newcomer Star 17 TRADE & TECHNICAL grandfather, Clem Hobbs, is moving to Multifuels only started up this year – it’s Fuel polishing & tank cleaning a brand new depot. something to be tackled in the future. Another 4th generation company One of the family members behind 21 TRADE & TECHNICAL is celebrating its 60th anniversary this this new venture is Shane Williams; Safety clothing year. Somerset- hopefully this former Welsh rugby 22 THE PRICING PAGE based Tincknell Fuels international will not feel the need to is proud to be ‘built kick it into touch in the future!

The size and locatiion of Inver Energy’s Cardiff terminal has facilitated the company’s growth and diversifi cation – see page 14. See also page 13 in the April issue of Fuel Oil News.

Contact us

01565 653283 General manager Subscriptions Founded in 1977 by James Smith www.fueloilnews.co.uk Scott Masheder Sandra Curties [email protected] [email protected] Published by Managing director Ashley & Dumville Publishing Ltd, Nick Smith Business development manager Annual subscription for the UK Caledonian House, Tatton Street, Linda Farrow & Republic of Ireland is priced at Knutsford, Cheshire News desk / Editor [email protected] £95 or €113 inc. p&p. Overseas: WA16 6AG Jane Hughes £112 or €134. Back issues: £8 per [email protected] Irish News copy. Aine Faherty Deputy editor [email protected] Credit card payments Liz Boardman 01565 653283 [email protected]

YEARBOOK & DIRECTORY 2014 2014 If you need to fi nd an equipment supplier or

With Mabanaft I can rely on a fast, service quickly, consult your efficient turn-around at the terminal which makes Fuel Oil News Directory my life so much easier FOR EXTRA COPIES OF THE 2014 DATES STORAGE & TERMINALS WALL MAP CONTACT BELFAST: REVISED DATE TBC 01565 653283 www.fueloilnews.co.uk/category/directory [email protected]

May 2014 Volume 37 No 5 Fuel Oil News | May 2014 3 ISSN 1757-1057 News

Growth in the tank storage market

BELOW NEIL MADDEN, EDITOR OF BULK DISTRIBUTOR REPORTS FROM STOCEXPO WHICH CELEBRATED ITS 10TH ANNIVERSARY WITH THIS YEAR’S SHOW IN ROTTERDAM

he conference focused on a number A facility needs to be in close proximity to on-screen icons enable every installation, of issues affecting the tank storage global markets for purchasing and close to a operation and maintenance function to be Tmarket in Europe. Despite the current significant local population for demand. There controlled in the field using a large display and backwardated market, the tank storage sector must also be a favourable political attitude integrated keyboard that works as a complete is still growing said Vopak COO Frits Eulderink. towards innovation and local authority support hazardous area operating station. The Demand continues to be driven by a number of for redevelopment. Owens concluded his controller can operate up to six loading arms mega trends such as growth in population, GDP presentation by sharing some tips: “The process simultaneously, providing safe, reliable control and energy needs. towards reopening as a terminal will be bigger for road loading, as well as tank farm transfers On the other hand, Europe’s refinery sector and more complex than expected; a rapid start- and marine and rail terminal operations. is in dire straits. On this subject, Greenergy CEO up is not realistic.” “The Fusion4 MSC-L lets operators do more Andrew Owens discussed the prime factors that On the exhibition floor, Honeywell Enraf with less,” said Richard Thompson, general made a shuttered refinery suitable for conversion introduced the Fusion4 MSC-L, reputedly the manager of Honeywell Enraf. “With high into a terminal. Since 2012 Greenergy has company’s most sophisticated multi-stream accuracy, it can control more streams than any acquired two redundant refineries – North controller for loading products from refineries other device, so users need fewer units. The Teesside and Coryton. “A refinery should only and chemical plants into transport equipment. intuitive interface and display gives those in the be converted to a fuel import terminal if it’s in a With an intuitive device interface inspired field full system visibility and control to get more viable location,” he emphasised. by mobile phone and tablet computing apps, done in less time.”

For the UK’s bulk liquid storage sector, this year’s Tank Storage Association conference and exhibition takes place on Thursday 18th September in the E.On Lounge at the Ricoh Arena, Coventy. This annual event has a proven track record of successfully bringing together people who care about safe and effective bulk liquid storage operations.

On the exhibition floor at StocExpo in March – everything for the tank storage market

4 Fuel Oil News | May 2014 www.vopak.co.uk Want to transfer

The rising cost Looking for the next hazardous of fuel big solution? fluids safely & he fuel oil distribution industry is always on the lookout for ways to work smarter efficiently? Tim Heaton of Haartz Tankers was Tand for new and innovative products to somewhat taken aback by this price maximise effi ciency. pole. Unleaded and diesel prices appear Next month, many of the UK & Ireland’s to have somewhat escalated in the top fuel oil distributors will be at the Fuel village of Broxton, near Chester. One Distribution Forum in Barcelona (11th & hopes the forecourt’s food prices have 12th June) in search of the next big solution, not seen similar infl ationary rises! reports event organiser, OpenRoom.

Technology driven A clutch of technology companies will be in Barcelona including loyal attendees Fuelsoft and Touchstar whilst new to the Forum are Mechtronic and LomoSoft. Focusing on stock contamination, resulting from line changes, Mechtronic will showcase the OptiMate metering system which guarantees a line change protocol that both distributors and regulatory authorities can agree upon. A global provider of fl eet management solutions, German company, LomoSoft offers additional services such as network management and intersite connectivity. The Fuel Distribution Forum matches fuel distributors with manufacturers and suppliers On the road with DECC for a program of one-to-one meetings and networking. nabling businesses, installers and For more information, contact consumers to fi nd out more about the annabel@openroomevents. For total peace Edomestic Renewable Heat Incentive scheme, the Department of Energy and Climate Change (DECC) will be attending a of mind talk series of events this spring/summer. to the people who MAY 1: ABERYSWYTH , Park Hotel, 2: SWANSEA, Village Hotel know what 7/8: MANCHESTER, Greenbuild Expo, Manchester Central they’re doing 17/18: GLASGOW, Scottish Homebuilding & Renovating Show, SECC 21/22: ABERDEEN, All Energy Expo, Aberdeen Exhibition Centre

JUNE 17-19: LONDON, Energy Environment Expo, ExCel 26/27: BRIGHTON, Eco Technology Show, The Brighton Centre Sealing a software deal at last month’s FPS 28/29: SURREY, Southern Homebuilding & Expo in Harrogate – Mark Nolan, Nolan Oils (r) Margate, UK shakes hands with Fuelsoft’s David Kingsman. Renovating Show, Sandown Park Both David and Mark will be at next month’s t: + 44 (0)1843 221521 wwwww.decc.gov.ukw.decc.gov.uk Fuel Distribution Forum in Barcelona e: [email protected] @EmcoWheaton www.facebook.com/EmcoWheaton www.emcowheaton.com

PICTURES FROM AN EXHIBITION

Signing up for 24-7 Response are fi nancial director, Lisa Gazzard and operations manager, Simon Turner, Moorlands Fuels with (l) Richard Shreeve, business development manager, 24-7

A trio of industry legends – (l-r) Neil Donald, Airport Energy, Jim Callow, Hingley & Callow and Jonathan Turner, The Bayford Group which includes Diesel 24 and new Scottish distributor, Oilfast

Nick Goodwin of Standard Fuel Oils stands beside the Merseyside distributor’s fi rst brand new 20,000 litre tanker manufactured by Road Tankers Northern

Alex Longman, a driver at NWF Fuels Bangor depot, took the title of FPS Driver of the Year. Alex gave his £1000 prize to his future Liz Boardman, deputy editor of Fuel Oil News, wife Anne in recognition of her support presents tanker of the year trophies to Chris Bingham, Craggs Energy and Tom McDonnell, Tasca Tankers

Mike Green, Liquip UK’s managing director, was pleased Having grown his hair for a bet, Trevor Rolph of Expanding the Haartz Tankers fl eet – Tim Heaton (centre) to demonstrate the company’s new equipment. Monument Fuels went unrecognised by many and Ian Walkden (r) with Magyar’s Sylvain Faugieres including Fuel Oil News editor, Jane Hughes Fuel Oil News | May 20142013 7

Analysis

that its Stanlow refinery would see have been the nation’s largest production capacity reduced by a single source of coal and solid third from October, citing ongoing fuel imports in 2012 but it was losses on site. third in terms of crude oil imports For some years Murphy Oil with the provision of 11% of the has been seeking a buyer for its total, behind Norway at 50% and Murco facilities in the UK which Nigeria on 12%. The Department include the Milford Haven refinery. of Energy and Climate Change With the latest efforts regarding did however note that Russia a takeover having recently broken ‘has generally become a more down, the future operation of the important source of imports’ of site is now in further question; crude oil in recent years. particularly given the general ill health of the European refining The effect of sanctions sector. While the possibility of economic sanctions and a decline or loss of Increasing imports with Russian energy flows into Europe ‘mutual interdependency is – at the time of writing – a and common interest’ number of steps away, even the With the UK’s reliance on imports possibility of such an event gives A FEELING OF showing no signs of abating, there rise to continued volatility in is the question of the source of financial and energy markets in those imports and, in particular, the short term. So far, Russia’s INSECURITY? the role Russia plays with respect comments regarding a possible to energy matters in the UK and reduction in energy flows have Continental Europe. focused more upon gas than oil GIVEN DEVELOPMENTS IN UKRAINE AND THE ROLE THAT Building on a long standing and oil products, a fact reflective RUSSIA PLAYS IN THE GLOBAL OIL MARKET, SUPPLY partnership, Russia and the EU of Ukraine’s outstanding multi- AVAILABILITY IS A BIG TALKING POINT ONCE AGAIN. BELOW signed an agreement in March billion debt to state-owned UX ENERGY SERVICES CONSULTANT DR CRAIG LOWREY 2013 aimed at cooperation in Russian company Gazprom. LOOKS AT SOME OF THE ISSUES THAT THIS SITUATION COULD GENERATE FOR THE UK MARKET. the energy sector through to The ability of both the UK 2050. In recent years, Europe and the rest of the EU, notably CLOSER TO HOME, THE DEVASTATING WEATHER CONDITIONS has sought to diversify away from Germany – the largest single THAT HIT PARTS OF THE UK OVER THE LAST WINTER HAVE Russian energy imports, a move importer of Russian oil and gas ALSO BROUGHT SECURITY OF SUPPLY INTO RENEWED that largely commenced in 2006 – to diversify away from this FOCUS. following the Russia-Ukraine gas traditional and long standing supply dispute when Russian gas source is limited – particularly The UK’s ability to control the past few years as the industry flows to the EU through Ukraine’s given that the influence of fate of its heating oil price has struggles with falling demand in pipelines were compromised. sanctions will have a global diminished; something also the wake of recession and the A second dispute in early 2009 effect. seen in the wholesale natural resultant over-capacity. This has accelerated the move away. Sanctions against Iran in gas market over the last decade. been compounded by growing The EU describes the the summer of 2012 contributed A decline in domestic refining competition from facilities in the relationship with Russia as towards a 10%-15% increase capacity coupled with the US, Russia and Asia, although one based upon ‘mutual in the price of crude oil that decline in crude production from these regions themselves have interdependency and common was reflected in the markets for the UK Continental Shelf has had a few mixed years. Many interest’ with Russia being petroleum products. As well as meant increased import reliance, sources in the industry are the largest oil, gas and coal impacting energy prices, this making the UK price for heating predicting that further European exporter to Europe. In the oil in turn fed through to the cost oil increasingly reflective of refinery closures can be expected industry, EU-Russia cooperation of living through the prevailing international events. As North Sea by the latter part of the decade. has been growing over recent inflation rate. output declines further, forecasts The refining sector saw years with European companies Russia’s status as the largest from the UK government show the closure of the Petroplus- active in Russian exploration non-OPEC oil producer – as well that this trend is likely to continue owned Coryton site in 2012 and production, while Russian as the world’s largest largest oil well into the next decade for all and in late 2013, an industrial companies have made increasing producers in general – means that petroleum products. dispute threatened to result in inroads into refining, marketing sanctions would have a noticeable Reflecting the economics the closure of the INEOS site at and retail. effect, although the extent of this of the refining industry across Grangemouth. The start of 2014 According to the latest figures – not to mention the likelihood Europe, the nation’s refining has been equally challenging; in from the UK government, at and form of sanctions – remain capacity has fallen over the February, Essar Energy announced 40% of total imports Russia may speculation at this stage. Fuel Oil News | May 2014 9 RIGID TANKERS WANTED

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10 Fuel Oil News | May 2014 Inside Out

No easy decisions at Whitegate

Oil remains the most dominant source 3. There is no imperative to have refining ‡ Continued operation is highly desirable of primary energy supply in Ireland, assets and the current infrastructure from a security of supply perspective accounting for around 60% of overall energy would be capable of supplying the ‡ Facilitative policy measures will be consumption; double that of economies such required product imports. considered to support continued as Germany, France and the UK. The report gauged the benefits of operation of the refinery With oil playing such a key role in Ireland’s continued refinery operation to be in the ‡ The Department, liaising with other economy, security of supply is imperative for range €21-€29 million per year, assessed as appropriate public bodies, Phillips 66 the country’s economic and social well-being. the proportion of the added value generated and the oil industry, should determine An important element in the infrastructure to that would be expected to pass directly to the available policy options and revert to the support the country’s oil needs is Whitegate. Irish economy. This is defined as the gross government with a progress report margin generated between product revenues Oil refining on the island of Ireland and feedstock costs. A proportion of this Possible outcomes and implications Originally commissioned in 1959, Whitegate added value is used to cover local taxation and There are few signs of relief on the horizon has a distillation capacity of 71,000 bpd. One operating costs that flow direct to the Irish for European refining. With excess capacity, third of output is exported with the balance economy. poor profitability, EU directives for fuel quality, of circa two million tonnes of petrol/middle renewable energy and emissions control, as distillates supplying just under 30% of the Three key recommendations well as challenges from the new, efficient Republic’s requirements. Ireland’s remaining As soon as practicable, government should export refineries in the Middle East and Asia requirements are satisfied by imports with engage with Phillips 66 at an appropriate and rising levels of US oil products’ exports , 85% from west coast UK refineries; imports level in order to inform itself of the company’s further rationalisation in the European refining into the four Dublin based storage facilities intentions post 2016. If this indicated sector is inevitable. Being a fairly small and supply half the requirements. likelihood that Whitegate would cease refining low complexity refinery, with a Nelson Index Whitegate has undergone several changes operations post 2016, assurances should be of only 3.8, Whitegate is not well equipped to of ownership: Having been mothballed by its sought that there would be no precipitous operate on a sustainable and profitable basis in original owners, BP, Esso, Shell and Texaco, loss of supply of refined product to the Irish this environment. processing resumed in the early 80s when market and that the use of the site for a If the government’s resolve to support acquired by the Government. In 2001, it was product import terminal would be seriously Whitegate’s continued refining is of sufficient sold to the US Tosco Corporation, which was considered. In such an event, Phillips 66 should power to persuade Phillips 66, then this begs then acquired by Phillips Petroleum. With be encouraged to sell the assets if they were questions around what ‘facilitative measures’ the merger of Conoco and Phillips in 2002, not interested in converting it to a terminal it is willing, and permitted, to entertain to Whitegate became a ConocoPhillips refinery. themselves. achieve the desired outcome. Presumably, In May 2012 Phillips 66 took over ownership. The oil supply infrastructure should be funding the requisite support for the refinery’s kept under regular review. Any development continued operation, would inevitably fall to Refining post 2016? or change in any region that could impact Irish oil users…. When the government sold Whitegate significantly on its adequacy or robustness, Closure would have a substantially to Tosco, the transaction came with the should be examined and assessed to ensure damaging impact on the local community with stipulation that crude oil processing would be that the infrastructure remains appropriate and the loss of direct and contractor employment maintained until at least 2016. There have fit for purpose. having knock-on effects on local businesses. been two attempts to sell the facility – in 2007 In collaboration with Northern Ireland, Loss of key skills, knowledge and expertise by ConocoPhillips and Phillips 66 in 2013. the government should develop a set of required to run a petroleum processing plant, , Mindful of the obligation’s expiry in 2016, contingency measures to ensure that risks to is not to be under estimated. the government commissioned a study of the oil supplies at any one node in the oil supply Should both processing and storage strategic case for oil refining requirements on system can be mitigated by utilising the operations be discontinued, there would be the island of Ireland by Purvin & Gertz and substantial margin in capacity that is available implications for the National Oil Reserves Byrne O’Cleirigh. Published in July 2013, its across all six major commercial oil ports. Agency (NORA). The site’s existing facilities three main conclusions are as follows: In March 2014, a short overview provide access to capacity for the country’s 1. Provides an alternative source of product Government Policy on Oil Refining in mandatory stocking obligations in physical supply versus complete reliance on Ireland was published by the Department form. Phillips 66 has recently abandoned imports providing flexibility in security of of Communications, Energy and Natural its attempts to sell the refinery, while still supply. Resources. This set out the government’s continuing to seek a buyer for the Whiddy 2. Adds value to the benefit of the island’s position on the future of refining operations at Island storage complex. There are certainly no economy and provides employment. Whitegate. easy decisions on this one. Fuel Oil News | May 2014 11 Knowing I can rely on Mabanaft for reliability of supply makes my life so much easier

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&DOO_9LVLWZZZPDEDQDIWFRXN Irish News

The ongoing fi ght against fuel fraud ROM1 software

WILL A NEW MARKER FOR REBATED FUELS HELP HM REVENUE AND CUSTOMS Introduced in January 2013, the monthly (HMRC) AND THE IRISH REVENUE COMMISSIONERS TACKLE THE CRIMINAL MARKET Return of Oil Movements (ROM1) to IN OFF-ROAD DIESEL? the Irish Revenue has presented some At present the use of illicit diesel is estimated “The FTA has long campaigned against challenges which good software can help to be 12% of the market share in Northern fuel laundering outlining the enormous alleviate. Ireland and about 2% in the rest of the UK. fi nancial loss to HMRC and the Irish Revenue. “To ensure a ROM1-supporting version of Reporting that the fi ght against fraud is being With fuel representing approximately 40% our CODAS software would be in place for our stepped up, HMRC says the new robust marker of a transport operator’s costs, legitimate Irish customer base, CDS undertook signifi cant will be far harder to remove, making rebated operators in Northern Ireland are at a distinct development and testing in the latter part fuel much harder for fraudsters to launder and disadvantage when competing against those of 2012,” said Graham Wilson-Theaker, sell on at a profi t. using laundered diesel.” commercial general manager. See page 6. “CODAS 2013 (CODAS 6.74) fully supports Will the launderers outsmart the Additional measures with action for a internal record validation and electronic upload initiative? fi rst time offence requirements. All Irish customers have been Whilst welcoming the marker’s introduction, Additional measure suggested by the FTA upgraded to the new version of our software the Freight Transport Association (FTA) did include – removal of haulage and passenger and are utilising its capabilities,” added voice a word of caution stating that “any licences from operators found using laundered Graham. chemical solutions to fuel laundering are fuel; confi scation and sale of any vehicles found Prior to ROM1’s introduction, EA Projects ultimately prone to chemical counter-measures using laundered fuel, even where it is a fi rst- had already been running a similar live system by fuel launderers.” time offence; confi scation and sale of land/ in Bulgaria for over three years. With fuel launderers determined to premises where fuel laundering is taking place, “Our automation platform is modular,” ‘outsmart’ such initiatives, FTA’s policy and even where it is a fi rst-time offence; and a explained Simon Whibberley, managing membership relations manager, Northern minimum prison sentencing for those involved director. “Where the iMonitor tank gauging Ireland, Seamus Leheny said: “Vigilance will be in fuel laundering. and iStocks stock control packages are installed key. The FTA is also calling on the authorities to To comment, email Irish correspondent there’s provision to produce reports relating make enforcement measures against criminal Aine Faherty – [email protected]. to opening/closing balances by product type activities robust. for both physical and book stock values. Our new Antheneum system provides off site data warehousing storage for all records, storing At the show data for up to 10 years and allowing the user to reproduce documents in their original format Spotted at last month’s FPS Expo, Billy Flynn via a web interface.” See page 23. (l) road loading supervisor at the Phillips 66 “Having worked very closely with the Irish owned Whitegate refi nery with Chris Franks, Revenue, Herbst Software offers a complete Selectafl ex Consulting solution for ROM1,” said sales manager Sean Phillips 66 announced last month that its Fitzgerald. “We believe this gives the Herbst Whitegate facility had been withdrawn from customer a unique advantage over other sale. Although obligated to run the refi nery software providers. With Herbst software, until 2016, the company hopes to offl oad the issue of ROM1 is no longer an issue – our its Bantry Bay storage facility later this year. complete solution takes away the problem.” For more on Whitegate, see page 11. www.herbstsoftware.com Supporting Ireland’s ‘burgeoning oil industry’

Topical debate about the oil and gas industry will dominate Ireland’s 2nd annual Oil & Gas Summit to be held in Dublin next month. At last year’s inaugural summit, minister O’Dowd informed the audience that Atlantic Ireland has hydrocarbon systems but it is down to the industry to fi nd them. Unlocking Ireland’s hydrocarbon potential will certainly be among the topics being discussed by the summit’s panel of speakers, which will be chaired by David Horgan, managing director of Petrel Resources. Tony O’Reilly, CEO Providence Resources and Tom Kelly of Enterprise Ireland will look at how Ireland can adapt to accommodate its burgeoning oil industry. Why has Ireland largely evaded the E&P map until now? This question is to be discussed along with the role of the Porcupine and the Larne- Lough Neigh basins. Together with the natural gas industry, Ireland’s petroleum safety network and infrastructure will come under scrutiny as will the possibility of Cork being established as the oil capital of Ireland akin to Aberdeen’s position in Scotland. The summit takes place on 4th-5th June. www.irelandsummit.com Fuel Oil News | May 2014 13 INVER ENERGY For your fuel requirements in the UK or Ireland.

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14 Fuel Oil News | May 2014 Trade & Technical

10 years of making a difference

IN APRIL 2004 A SMALL TEAM OF PASSIONATE INDIVIDUALS FORMED MECHTRONIC WITH THE AIM OF PROVIDING ‘CLASS LEADING PRODUCTS AND SERVICES’ TO THE FUEL OIL MARKET Initially working from a spare room, the Listening to customers, doing the Anniversary activities company moved into an industrial unit at simple things well and innovating Celebrating its 10th anniversary this year, Kirkstall Forge in Leeds, an area fi rst occupied Further investment in cutting edge IT enabled MechTronic will unveil its new OptiMate by the Cistercian monks of Kirkstall Abbey 800 the development of a facility in which rapid metering control system. “The next major years ago. proto typing could be carried out. Coupled step in the evolution of metering and “At this stage the team would not have with the team’s fl exibility and drive, these new delivery control, it will refl ect big operational believed that within 5 years the company resources allowed the company to take ideas savings for distributors and much improved would be the UK market leader in its fi eld,” said from the fi eld and bring them to market as compliance with HMRC requirements on line sales & marketing director, Andy Spencer. products they could sell very quickly. contamination,” says Andy. “But MechTronic’s three years at the forge “MechTronic’s philosophy has always been In June, 12 employees will cycle almost saw the development of the fi rst mechanical to listen to customers, do the simple things well 80 miles in just one day for charity – some metering solution, the new VisiFlow manifold and to innovate,” said Andy. “This philosophy customers are rumoured to be tagging along and the revolutionary SPGI (Smart Product resonated with fuel oil distributors giving us a too. Later in the year, all employees are invited Grade Indication System). It also delivered unique approach that would eventually deliver to a day at York races. the MaxFlow electronic metering system with a fresh new look to the industry.” “Time fl ies – that saying has never been its simplifi ed one cabinet approach that the In addition to fi rst-class products, the truer, especially for those that were present industry now considers the bench mark.” company quickly realised that after sales when MechTronic was formed 10 years ago,” In 2007 when the River Aire burst its banks support was just as important and MechTronic said Andy. “In the time ahead, the team looks fl ooding the MechTronic building, the company Technical Support was born. Known as MTS, forward to working with customers old and moved to newer city centre premises which had this service team has rapidly increased in size new to help ensure our industry is a more cost the added benefi t of parking for Leeds United in response to demand for planned/unplanned effective and safer place to be.’’ matches! maintenance packages, similar to those offered by vehicle manufacturers. “The UK-wide team MechTronic products are supported by the 12 now has 12 people dedicated to providing class strong MTS team, a member of which is seen leading customer service,” added Andy. here attending to a Ribble Fuel Oils tanker

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16 Fuel Oil News | May 2014 Trade & Technical

Sludge busting

“Although Fuel Science Additive Technologies’ (FAST) core business is centred around supplying fuel additives and fuel quality advice, we’re routinely asked to comment on contaminated fuel and tank housekeeping issues,” says managing director, Neil Ryding. “As a one-off a couple of years ago, to help a long- standing friend in the industry, FAST formulated a product – Exocet Sludgebuster – which, in conjunction with a filtration system, acts both to condition the fuel and to remove tank deposit build-up (sludge) using the bulk fuel itself as a carrier (conditioning removes particles and water and provides anti bug treatment). This product proved successful and FAST has subsequently provided it for use in the UK and overseas. See also page 2. www.fastexocet.co.uk Remove this sludge with Exocet Sludgebuster

Cleaned and polished Fresher fuel

King Tanktechnic (KTL) offers tank cleaning and fuel polishing. Microbial contamination is a major headache for any business relying After physically entering a tank to remove sludge and on fuel storage tanks to keep equipment operational. Hytek’s fuel contaminants, a trained operative wearing full protective clothing storage tank re-circulation kit can prevent microbial growth from and breathing apparatus uses high pressure water/detergent jets occurring by passing fuel through a conditioner. inside the tank. The detergent/water mix is then uplifted to KTL’s The kit is pre-programmed to recirculate fuel 1.5 times per 28-day multi-compartment tanker and taken away for safe, recorded and cycle and with preset limits already determined for the pump flow rate, proper disposal. the instant a filter blockage is detected, warning lights flash. KTL has extensive training in the polishing of damaged fuel to The kits are available in two versions: one for tanks containing up ensure all contaminants and water are properly removed to leave a to 40,000 litres and the other for tanks with a capacity up to 65,000 clean, saleable product. For heavily contaminated fuel a few cycles litres. Both are available with optional particle/water filtration kits, through the fuel polisher may be required, to ensure that it is cleaned down to 10 micron. effectively before being returned to the storage tank. www.hytekgb.com KTL also carries out tank inspections and provides customers with a full report supported by digital images. www.kingtanktechnic.co.uk

Hytek’s re-circulation kits are suitable Fuel goes from dirty to clean through for tanks with a 65,000 litre capacity KTL’s Coalescer fuel polishing unit

Fuel Oil News | May 2014 17 Trade & Technical

In the June issue of Fuel Oil News Preserving the reliability of critical equipment

IPU Group’s ClearTank tank cleaning service removes water down to 200 parts per million or Today’s tank removes water, solid and microbial contamination less as specifi ed in EN590:2009. It clears solid from diesel storage tanks, ensuring diesel-powered particulates such as soot, rust and colloid carbon. equipment and gensets run dependably and It kills and extracts microbial growth. Sludge and Protection effi ciently. biofi lms are removed from the sides and bottom Gauging “Dependability is the one thing that is needed of tanks. from critical equipment such as standby and Once complete, IPU certifi es that the tanks Monitoring primary power systems,” says marketing manager, are clean and the fuel meets the 18/16/13 level of Maintenance Steve Baxter. “However complex the equipment, cleanliness as defi ned by ISO 4406:1999. you need the assurance that it will function “The beauty of ClearTank is that this all Automation perfectly when and if it is needed. happens without requiring man-entry into the “Fuel storage is a potential point of failure tanks, without a diesel uplift and without losing that’s easy to overlook. Tanks can harbour half your stored fuel in the cleaning process! contamination that pollutes any clean fuel “The last thing you want to do is unsettle Leak detection – received. The ClearTank service removes the customers,” added Steve. “That’s why the what’s available? contaminants from a tank and paves the way for a ClearTank service works discretely from an comprehensive fuel management programme. unmarked van. We know that tank cleaning is a ClearTank addresses the three main forms wise and prudent precautionary measure – but of fuel contamination – water, solid particulates that’s no reason to invite misinterpretation.” and microbial growth, aka the diesel bug. It www.ipu.co.uk/cleartank EVERYTHING YOU NEED TO KNOW ABOUT FUEL POLISHING, IN YOUR POCKET

Our FREE compact handbook covers

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IPU Group, Churchbridge, Oldbury, West Midlands, B69 2AS England Fuel Conditioning www.ipu.co.uk

18 Fuel Oil News | May 2014 Tank cleaning with PTFE power

The HydroWhirl Poseidon range of PTFE (polytetrafluoroethylene) tank cleaners from BETE now offers new models and flow rates as well as overall design improvements. The PTFE material ensures that the design is hygienic and highly resistant to corrosive chemicals, enabling it to handle powerful caustics or acidic environments. The new design’s biggest advantage is its slower rotation speed. With the head turning more slowly than metal equivalents, the dwell time for the cleaning spray is higher which results in a concentrated spray action against internal surfaces of tanks and vessels. Designed for quick and easy disassembly, inspection and reassembly, the HydroWhirl PTFE nozzle provides complete 360º omni-directional coverage. HydroWhirl gives a concentrated www.bete.co.uk spray action against internal surfaces of tanks and vessels Cutting engine downtime

“Clean diesel fuel is essential for an efficient and reliable engine. To achieve clean fuel it’s necessary to use purification,” says Bryan Holden, CC Jensen’s general manager. A cost effective way of removing and controlling microbes is to install a fuel separator and cellulose fine filter with a three-micron absolute rating. The CJC fuel separator can remove moisture down to low levels whilst also capturing particles and absorbing sludge, the catalyst for increased microbial contamination, into the filter media. Additionally each filter insert has a very large surface area, offering up to 5 kg of dirt holding capacity before change is required. The CJC fuel separator – a cost effective way of removing and controlling microbes www.ccjensen.co.uk A strategic service Tanks – repair, don’t dump

“With many fuel site projects becoming more multidisciplinary it would Coatings specialist, Repair, Protection and Maintenance (RPM) can repair be easy to become jacks of all trades and masters of none, but we’ve most tanks, pipework and other large storage vessels for a fraction of the decided to take a completely different approach,” says Nigel Plumb, cost of replacement. director, DP Fuel Tank Services (DP FTS). Depending on environment and proposed use, RPM can also offer a “We’ve built up a network of strategic partners – all experienced warranty of up to 10 years; a typical manufacturer’s warranty is just two specialists in their fields and companies that we trust.” With DP FTS at to three years. its centre, the group can deal with a wide variety of forecourt projects RPM specialises in rebuilding a tank’s corroded or damaged areas including tank cleaning, pipework, tank lining, fuel testing, biofuel with appropriate material, then lining the vessel to protect and extend its issues, fuel polishing, gas-freeing, tank excavation, decommissioning, life. Through the use of coatings, effectively recycling the tank, its life can contamination remediation and full forecourt demolition. be extended. This reduces its carbon footprint and saving on the cost of www.dptanks.co.uk a new tank and removal of the old one. www.rpmltd.co.uk

Fuel Oil News | May 2014 19 Prax Petroleum is one of the largest independent oil importers and traders in the UK.

Call our sales team now for the best spot quotes, supply contracts and pricing options.

Contact us on: 01932 843354 www.praxpetroleum.com

Prax House, Horizon Business Village, 1 Brooklands Road, Weybridge Surrey KT13 0TJ

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TRUST MABANAFT TO MAKE IT EASY Specialists in the storage and handling of bulk liquid chemicals, petroleum, oils and gases TO PURCHASE FUEL Vopak Terminal London Jason Hornsby RELIABILITY OF SUPPLY 01708 863399 [email protected] EFFICIENCY OF LOADING OUR TEAM ON YOUR SIDE 9Fully sustainable biofuels Elliot Dell ACCURACY OF INVOICING 9Up to 100 tonnes /day processing capacity 01708 683744 9Fully ISCC certified [email protected] 9Competitive pricing 9Quality assured 9 Call SIMPLY. BETTER. Central location 0207 802 3300 9Bulk contracts & blending available Email [email protected] Register at www.mabalive.com Call us on (01908) 616960 2015 Storage [email protected] www.fueloilnews.co.uk T el: 01565 653283 2014 0/2013 16:59 Page 1 Orkney Key Wholesale Contacts Islands BP ...... 01908 853 135 Stromness Certas Energy ...... Safety. 0845 600 4040 Honou Humber Ref r. C Essar ...... inery is ommi programme recognis tmen 0151 350 4003 of ed as one t. It i investment of the bes Thurso s a fully integ designed t in the w ExxonMobil ...... rated r to maint orld, with Wick efinery that ain its pla a near-co 0207 136 1795 Our inland produc ce in the ntinuous infrast es light pr internatio Greenergy ...... provi ructure, w oducts and nal leagu des a resi ith 3 core fuel oil. e table. lience of s distributio 0207 404 7700 To upply tha n terminal Ullapool find out h t sets us ap s and 23 Harvest Energy ...... ow we can art in the regional fuel your UK ma terminal 0207 580 0033 Inverness journey ca rketplace. s, Uig ll us on 019 Jet ...... Caledonian Oils 26 404000 or visit w ww.phillip 01926 404000 s66.co.uk Mabanaft ...... Peterhead 0207 802 3300 Asco Oils Inverness Keith Murco Petroleum ..... Peterhead 01179 576280 Mallaig Nynas UK AB ...... 01382 462211 Kingussie Aberdeen TRADE CREDI Petrochem Carless .... Aberdeen Asco Oils T Fort W & Terminals 01372 380465 illiam Aberdeen Specialist Credit Insurance Petroineos Fuels ...... SCOTL Caledonian Oils Brokers to the Oil Industry 01324 477860 Finnart Ocean AND Petroineos Fuels Oban Phillips 66 ...... q Strategic business partner with all the Crianlarich P 01926 404000 itlochry Dundee leading credit insurance underwriters. Prax Petroleum ...... Perth Dundee Clydebank Nynas 01932 843354 q Secured credit lines in excess of £7.0bn NuStar Terminals for our clients in 2013. M90 Shell ...... Stirling Grangemouth q 0870 8500924 Greenock Petroineos Cover arranged on behalf of global Total ...... Oil Companies, Distributors and Fuel Falkirk Grangemouth Card Agents. 01923 249508 Londonderr Glasgow M8 NuStar T Grangemouth 0771 4452398 y Edinburgh erminals q LSS ED&F Man T Recommended broker of the Federation Valero...... Kilmarnock erminals UK of Petroleum Suppliers. 0845 850 9891 Campbeltown M74 Berwick- q upon-Tweed We represent over 90% of the UK trade 1890 812 762 Ayr credit insured fuel sector. World Fuel Services .. Coleraine North Shields 100TH 0207 808 5137 Simon Storage ANNIVE Londonderry RSARY 1912 – 2012

Ballymena NORTHERN Stranraer Jarrow Manchester Dumfries 0161 905 5500 Newcastle Shell Sheffield IREL upon T 0114 280 0169 AND M2 yne London Belfast Belfast Dalston Carlisle Riverside www.reynoldsinsure.com 020 3544 4850 Enniskillen Simon Storage Authorised an Sligo Petroineos Fuels d r M1 BP egulated Armagh by the Financial Conduct Aut horit Craigavon Belfast W Sunderland y. orkington Durham Seal Sands NuStar Terminals Workington Newr M6 A1(M) Vopak Seal Sands The single source solution for: y Cumbrian Storage The UK's leading fuelling Isle of Ma Simon Storage New generation Internet-based fuel n Middlesbrough solutions specialists management systems Dundalk Kendal map Cameron Forecourt Limited High accuracy tank gauging systems Longford Chambers Road, Platts Common Industrial Estate, Teesside Pumps for diesel, gas-oil, petrol, Greenergy Hoyland, Barnsley, S74 9SE adblue and oil Galway Liverpool Manchester Below & above ground PPG- Liverpool Lancaster Scarborough Tel: 01226 742441 Enwest REPUBLIC OF UM Storage (Sandhills L Valero Email: [email protected] compliant tanks ED&F Man T ane) erminals UK Liverpool Hull www.cameron-forecourt.co.uk Project man Galway (Regent Road) A1(M) installation servicesagement & complete Westway Harrogate IBL Bulk Liquids Shannon Blackpool Nationwide field support IREL Liverpool Blackburn Hull (East) Simon Storage AND Leeds York UM Storage Hull Dublin Eastham Henty Oil Preston Eastham Bradford Kingston ED&F Man T Foynes NuStar Terminals erminals UK Dublin Shell / Nynas M62 upon Hull Humber Inver Energy Portaloise Holyhead Lindsey ExxonMobil / V M1 Scunthorpe Phillips 66 Map Ke alero Henty Oil Liverpool Barnsley Total Foynes Dublin M180 y Atlantic F Manchester Immingham uel Supply Company Tedcastles Stanlow Sale Company Owned Storage Dublin M56 Simon Storage Limerick Essar Sheffield Grimsb Topaz y Immingham Jarrow Chester Ellesmere P Waverton Phillips 66 ort M1 Essar Stoke ENGL Bramhall Refineries ANDLincoln Grangemouth Kingsbur Tank Storage Government Owned y Association Derby Independent Storage Total / Phillips 66 M6 Water Wexford Colwick Killarney ford Shrewsbur Nottingham Aberdeen Kingsbury y Boston Total Rosslare Valero M54 Tamworth Cork W ALES Bedworth Kingsbur Leicester Murco P y Aber King’s Lynn etroleum 1 08/11/2013 15:37 BP / Shell ystwyth Birmingham Peterborough Norwich Great Yarmouth Birmingham Coventry Kettering Asco Oils Great Y ExxonMobil W M5 armouth Milford Haven orcester Warwick Northampton Whitegate Murco Petroleum Northampton Whitegate Haver Phillips 66 fordwest BP Your fuel supplier Phillips 66 Milford Haven M50 SemGroup LP M40 Cambridge Ross-on-Wy Gloucester Ipswich Ipswich Swansea P e M1 of choice P ort Vopak embroke Cardiff Hemel Luton V Talbot M11 Colchester alero Prax P Cardiff Oxford Hempstead Harwich etroleum M4 Cardiff Newport Inver Energy Swindon Harwich Petrochem Carless Cardiff M4 M25 Dagenham Buncefield Bristol M25 Valero Reading Stolt Nielsen BP Q Avonmouth LONDON Reliable fuel supply Westway Thames Oil P Avonmouth Vopak / Greenergyort / Shell Q Valero Avonmouth Taunton M3 Competitively priced ExxonMobil Salisbur M2 Margate M5 Yeovil y Canvey Island Telephone Linda Q M20 Oikos Storage Investing for the future Exeter Southampton Crawley Dover Grays Bournemouth Folkestone NuStar T Plymouth Brighton erminals Bristol Portsmouth Grays For more information ED&F Man T Pu erminals UK Weymouth Eastbourne rfleet Vopak ExxonMobil Penzance Staines contact us on: Fawley ExxonMobil ExxonMobil Hamble +44 (0)20 7513 3737 Westerleigh BP Theale Plymouth Murco P Falmouth Valero Murco Petroleum Cowes etroleum +353 (0)1 6136250 World Fuel Services Plymouth MRH GB Portsmouth [email protected] Greenergy Certas Energy Designed and published by A & D Publishing Limited, Caledonian House, Tatton Street, Knutsford, Cheshire, WA16 6AG. Telephone 0 Map produced by Active Maps Ltd. Tel: 01565 750049 www.activemaps.co.uk © Active Maps. 2014 Disclaimer: Whilst every effort has been made to ensure that the information is deemed correct at time of going to press, no li 01565 653283 or result of inaccuracy or error in the information. Any feedback and comments are welcome. Please email them to sandra@andpublish 1565 653283.

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20 Fuel Oil News | May 2014 Safety Clothing

High performance clothing

Supplied in the UK by Arcs ‘N’ Sparks Corporate Clothing, Tranemo has a new TeraTX FR range. Made from inherent and antistatic fabric, the range is available in both high visibility and non high visibility. With a fabric weight of only 260gm, it is extremely comfortable to wear, yet still offers superb durability and performance due to its ripstop construction. An excellent option for the tough demands of the fuel logistics market, the range includes trouser, jacket and boilersuit options. See also page 20. www.arcsnsparks.co.uk

Lightweight yet durable – the new TeraTX FR range from Arcs ‘N’ Sparks Seams – lifetime warranty By employing rigorous testing methods Blåkläder ensures its clothing is not only comfortable but also tough enough to protect workers. Continual improvement made to the quality and durability of its clothes range explains the development of the strength of its famous triple stitch seams and the technologically advanced materials used. To demonstrate confidence in the quality of its products, Blåkläder offers a lifetime warranty on seams. If the seam should fail during the useful lifetime of a garment, *Blåkläder will repair or replace it free of charge provided that it has not been torn or cut by sharp edges. www.blaklader.com/gb

If a seam fails on a Blåkläder garment, it is replaced free of charge* Hazchem for Esso The new PPE specification requires outer garments to be flame retardant EN11612 or EN14116, anti- static EN1149 and high visibility EN471. Having recently completed a PPE review, ExxonMobil’s safety clothing is now fully aligned with Energy Institute guidelines. Although hauliers and other contractors will be permitted to wear a vest which meets the high visibility element, Esso’s preference is that all the standards should be combined in one garment. Selecting Hazchem Safety’s new high visibility, FR/AS uniform jacket which meets both the specification and the ARC standard required for Esso’s engineers, the North Tees Terminal has recently increased its specification. www.hazchemsafety.co.uk

Hazchem Safety’s new jacket meets Esso’s stringent requirements Incident protection

ProGARM supplies a wide selection of high quality flame resistant (FR) clothing with CE certification. The 100% inherent blend of the VXS+ fabrics ensures that the FR properties last the garment’s lifetime. The fabric’s softness provides improved comfort against traditional coarse fabrics whilst instant extinguishing properties offer protection in the event of an incident. Many garments are also certified to IEC61482 offering protection against arc flash hazards. A selection of EN471 high visibility garments in yellow and orange and a navy/yellow EN471 class three coverall have proved extremely popular with fuel distribution and petrochemical companies. www.progarm.eu

ProGARM’s flame resistant clothing – proving popular with fuel distribution and petrochemical industries

Fuel Oil News | May 2014 21 The Pricing Page

Highest price Biggest up day 46.57 ppl +0.55 ppl Wholesale Price Movements: Fri 21 Mar 14 Fri 21 Mar 14 19th March 2014 – 15th April 2014 Kerosene Lowest price Biggest down day 44.82 ppl -1.04 ppl Kerosene Diesel Gasoil 0.1% Wed 02 Apr 14 Wed 02 Apr 14 Average price 45.86 47.08 45.78 Average daily change 0.38 00.38 0.38 Highest price Biggest up day Current duty 0.00 57.95 11.14 47.77ppl +0.76 ppl Total 45.86 105.03 56.92 Tue 15 Apr 14 Wed 09 Apr 14 Diesel All prices in pence per litre Lowest price Biggest down day 49 pplppl 1.1.68006800 KeroKero DieselDiesel GasoilGasoil 0.1% ExchangeExchange RateRate 46.12 ppl -1.09 ppl

1.1.67506750 Wed 02 Apr 14 Wed 02 Apr 14

1.1.67006700

48 pplppl g 1.1.66506650 Highest price Biggest up day

e 1.1.66006600 46.58 ppl +0.63 ppl Tue 15 Apr 14 Wed 09 Apr 14 47 pplppl 1.1.65506550 er litr Gasoil 0.1% p

1.1.65006500 Lowest price Biggest down day ence p 1.1.64506450 44.64 ppl -1.01 ppl 46 pplppl

1.1.64006400 Wed 02 Apr 14 Wed 02 Apr 14

Price in pence per litre Price 1.1.63506350 S Dollar to UK Pound Sterlin S Dollar to UK Pound US Dollar to UK Pound Sterling US Dollar to UK Pound U Gasoil forward price 45 pplppl 1.1.63006300 2277 JJanan 03 FFebeb 10 FFebeb 17 FebFeb 2424 FebFeb 03 MarMar 1 100 MMarar 1 177 MMarar 2 244 MMarar 3 311 MMarar 0 077 Apr 1 144 Apr in US$ per tonne

WeekWeek commencingcommencing $915

$905

$895

The Fuel Oil News Price Totem May 2014 – April 2015

Trade average buying prices Average selling prices Kerosene Gasoil ULSD Kerosene Gasoil ULSD

Platts 45.35 56.32 105.18 Scotland 46.75 59.91 106.61 53.40 53.65 109.95 North East 47.52 60.28 107.25 54.85 64.74 110.77 North West 46.88 59.72 106.69 52.32 63.32 109.17 Midlands 46.44 59.58 106.43 51.98 63.20 109.05 South East 48.08 60.52 106.73 55.38 64.27 109.33 South West 47.37 60.01 106.58 51.73 62.98 110.02 Northern Ireland 47.23 60.10 107.27 51.05 63.85 112.75 Republic of Ireland 66.09 71.99 110.84 78.64 77.99 113.92

The price totem fi gures are compiled from the results of a telephone survey of distributors carried out on 04/04/2014 Buying prices are ex-rack. Selling prices are for 1000 litres of kero, 2500 litres of gas oil and 5000 litres of ULSD (Derv in ROI). Prices in ROI are in € . The FON Price Totem includes Platts derived market data, supplied courtesy of Platts and BigOil.net. This allows distributors to make a comparison with the average buying prices.

22 Fuel Oil News | May 2014 COME SEE WESTERN GLOBAL AT HILLHEAD 2014 STAND F4 24TH-26TH JUNE

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Revolutionising the remote Complete liquid management

monitoring of fuel levels X Automated tanker loading X Web based tank gauging X Stock control systems To be sent a link to our X Bottom loading skids and conversions demonstration video X Engineering design services X Site maintenance please contact Dimitri on T: +44 (0)1629 815674 F: +44 (0)1629 813426 +44 (0) 1642 897010 [email protected] f www.ea-projects.com

Fuel Oil Pumps Applied Pumps Ltd Tel: 01246 260 102 Fax: 01246 260 103 Email: [email protected] Web: www.fueloilpumps.co.uk FUEL OILS Pumps - Meters - Filtration - Accessories

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Fuel Oil News is sold solely on condition that: (1) No part of the publication is reproduced in any form or by any means electronic, mechanical, photocopying or otherwise, without a prior written agreement with the publisher. (2) The magazine will not be circulated outside the company / organisation at the address to which it is delivered, without a prior written agreement with Ashley & Dumville Publishing Ltd. The publishers gratefully acknowledge the support of those fi rms whose advertisements appear throughout this publication. As a reciprocal gesture we have pleasure in drawing the attention of our readers to their announcements. It is necessary however for it to be made clear that, whilst every care has been taken in compiling this publication and the statements it contains, the publishers cannot accept responsibility for any inaccuracies, or the products or services advertised. Fuel Oil News is printed on sustainable forest paper. © Ashley & Dumville Publishing Ltd. Printed by Eastland Colour, Manchester Tel: 0161 273 3434 Trade Products

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