Vitol, one of the world's top oil traders, has completed the purchase of its first power plant asset – the 1,240MW gas-fired combined heat and power plant in Immingham, northeast England, in a strategic move to expand its physical portfolio.
Located on the south bank of the river Humber, Imminham CHP is one of the largest cogeneration plants in Europe, covering 2.5 of UK power demand by generating 1240MW of electricity. It also supplies up to 930 tonnes of steam per hour which is used in a nearby oil refineries to help turn crude oil into products, such as gasoline. It is fuelled by natural gas and surplus refinery gas, with liquid fuel as a backup.
Vitol, like others in the market, is investing in physical energy assets including oil fields and refineries in a bid to spread risk and diversify its energy trading business.