Stanlow-based Essar Energy Transition Retail’s latest acquisition of SGN Retail will create a 235-site national forecourt network, strengthening its role in the Liverpool City Region and North West economy. Tony McDonough reports
Essar Energy Retail Limited (EET Retail), the retail division of Essar Energy Transition Fuels, has agreed to acquire 100% of SGN Retail, a leading independent UK forecourt operator.
The acquisition will add 118 forecourts to EET Retail’s existing estate of 117 sites, creating a nationwide network of 235 locations with annual fuel throughput exceeding 650 million litres.
The deal strengthens the strategic importance of the Stanlow refinery in Cheshire and its role in the wider North West economy.
Located close to the River Mersey the Stanlow oil refinery at Ellesmere Port has one of the biggest economic footprints of any commercial entity in the North West.
More than 2,000 people work at the site, with around 1,200 directly employed as well as up to 900 contractors. In the wider economy it supports 5,000 jobs and spends £426m in the supply chain each year.
By supplying more forecourts directly with fuel refined at Stanlow, EET Retail aims to simplify distribution, improve the resilience of domestic fuel supplies and reduce reliance on imports and complex third-party supply chains.
The expanded network could help support Stanlow’s long-term competitiveness while benefiting businesses across the region involved in logistics, transport, storage, maintenance and other supporting services.
It also reinforces Liverpool City Region’s position as a nationally important centre for energy, industry and infrastructure. In May, Essar revealed plans for a carbon capture and storage facility and possible Irish Sea pipeline at Tranmere oil terminal in Birkenhead as part of £2.2bn net zero drive.
CEO of EET Retail, Arvan Ruia, said: “Building a scaled, vertically integrated retail forecourt platform is a critical pillar of our long-term UK strategy. SGN Retail is one of the highest-quality forecourt networks in the UK well ahead of the market.
“This acquisition accelerates our plan to build a nationwide, vertically integrated platform of 800 sites, backed by direct refinery supply and delivering competitive prices at the pump for UK motorists.”
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Viral Gathani, head of strategic transactions at Essar Energy Transition, added: “This is a unique, best-in-class opportunity and advances a core part of our M&A strategy.
“The transaction is backed by a top-tier group of banks spanning four continents, several supporting the UK forecourt sector for the first time, underscoring confidence in our backward-integrated growth model and in the UK fuels and convenience markets.”
The acquisition will accelerate EET Retail’s ambition to supply domestically refined fuel directly to 800 forecourts by 2031, representing approximately 9% of the UK market.
Closer integration between fuel production and retail is also expected to reduce supply-chain inefficiencies, with potential benefits for motorists in the North West and across the UK.