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Coryton refinery shipments start as deal signed Coryton refinery shipments start as deal signed
(40 minutes later)
Administrators handling the future of the Coryton oil refinery in Essex have signed a deal to allow shipments of fuel to restart immediately. Fears of fuel shortages have been eased after shipments were restarted at Coryton oil refinery in Essex.
Jobs at the refinery were under threat after Swiss owner Petroplus said it would file for bankruptcy on Tuesday. Administrators have signed a deal with customers to allow oil to be shipped from the site, which supplies 20% of south-east England's fuel.
Administrators PRML entered into agreements overnight to allow oil to be shipped from the site. Drivers had been urged not to stock up on fuel after the plant's Swiss owner Petroplus said it would file for bankruptcy on Tuesday.
Administrator Steven Pearson said: "I am pleased that we are able to resume fuel supplies in the region." The future of the 500 people who work at the refinery is still unclear.
Fears were raised diesel supplies could be disrupted after Petroplus announced it intended to file for bankruptcy "as soon as possible". The number of staff includes 350 contractors.
The refinery supplies 20% of south-east England's fuel.
'Business as usual''Business as usual'
As well as refining oil for use as fuel, the Coryton site - which is one of eight refineries in the UK - also imports fuel from other countries which has already been refined. Energy Minister Charles Hendry had urged drivers not to panic buy fuel following the site's closure on Tuesday.
Mr Pearson said: "The team has worked collaboratively with customers to get to this stage so quickly." While deliveries have started again, a spokeswoman for administrators PRML could not confirm if the shipments were running at full capacity.
About 500 people work at the refinery, which also employs 350 contractors. "The priority for administrators was to continue operating the refinery," she added.
A spokeswoman for PRML said the commencement of supplies was positive news for those employed at the site although she refused to comment on job losses.
"The priority for administrators was to continue operating the refinery," she said.
"Clearly, now that this arrangement has been agreed with the customers, they can carry on with business as usual.""Clearly, now that this arrangement has been agreed with the customers, they can carry on with business as usual."
As well as refining oil for use as fuel, the Coryton site - which is one of eight refineries in the UK - also imports fuel from other countries which has already been refined.
Administrator Steven Pearson said: "I am pleased that we are able to resume fuel supplies in the region.
"The team has worked collaboratively with customers to get to this stage so quickly."