Chemoil

Chemoil Energy Limited is a marine-fuel trading and supply company incorporated in Hong Kong and headquartered in Singapore. Its business is centered on the physical supply of bunker fuels to ships in port. Rather than operating primarily as a consumer-facing fuel brand, Chemoil functions as an industrial maritime-energy supplier: it sources fuel oil from multiple producers and traders, arranges transportation and storage, blends products to meet operational and regulatory requirements, and delivers fuel to oceangoing vessels. The company serves a broad maritime customer base, including container shipping companies, tanker fleets, time-charter operators, shipowners and marine-fuel traders. Its activities sit between the global oil-trading system and day-to-day vessel operations. Reliable bunker availability, the ability to move and store petroleum products, port infrastructure, blending capability and knowledge of local maritime regulations are therefore central to its proposition. Chemoil was established in California in 1981 by Indian businessman Robert Chandran. It expanded to Houston in 1986 and New York in 1997, developing a US operating footprint before entering Europe through Rotterdam in 1998. The company added Singapore in 2000 and Panama in 2003, giving it access to important Atlantic, Pacific, Caribbean and Asian shipping routes. Its physical network later included Los Angeles, New York, Houston, Singapore, Panama and the Amsterdam-Rotterdam-Antwerp region. Ownership changed materially during the company’s development. Itochu Corporation acquired a 50 percent interest in 1997. Chemoil subsequently became a listed company on the Singapore Exchange Securities Trading Limited on 14 December 2006. After founder Robert Chandran died in a helicopter crash in Indonesia in January 2008, Clyde Michael Bandy became chairman and chief executive officer. Bandy retired in 2010, and Tom Reilly was appointed chief executive officer in January 2011. Glencore acquired a majority stake in Chemoil in December 2009 and increased its ownership to 89.04 percent in 2012. In 2014, Glencore announced plans to acquire the remaining shares and take Chemoil private. Chemoil was voluntarily delisted from the Singapore Exchange in April 2014. The transaction placed the company within the wider Glencore commodities group and was followed by changes among senior executives, including the departure of Tom Reilly in June 2014. Michele J. Swanson, formerly a senior executive at Chevron, subsequently served as president and chief executive officer until leaving in 2017. Chemoil’s public profile has primarily come from its role in marine-fuel logistics and commodity supply rather than from consumer marketing. Its historical importance lies in building an independent physical-bunkering platform across major shipping centers and then becoming part of a large international commodities group. The available reference material does not establish a current standalone listing, current website, present executive team or the precise extent to which the Chemoil name remains operationally active after its integration into Glencore.

Chemoil began in California in 1981 under the leadership of Robert Chandran, an Indian businessman who built the company around the physical movement and supply of marine fuels. Its initial business model involved sourcing petroleum products, transporting them through regional logistics networks, storing and blending fuel, and delivering it to ships requiring bunker fuel in port. This operating model made Chemoil an intermediary between oil suppliers and the global shipping industry. The company expanded its US presence to Houston in 1986 and New York in 1997. In the same year, Itochu Corporation acquired a 50 percent interest, giving Chemoil a major strategic partner as it developed beyond its original base. Chemoil entered Europe in 1998 through an office in Rotterdam, then expanded into Singapore in 2000 and Panama in 2003. These locations connected the business with important shipping corridors and established a network spanning North America, Europe, Asia and the Caribbean. Chemoil’s customers included oceangoing ships, container fleets, tanker operators, time-charter companies and marine-fuel traders. Its physical operations were reported in Los Angeles, New York, Houston, Singapore, Panama and the Amsterdam-Rotterdam-Antwerp region. The company’s role was not limited to selling a standardized fuel product. It also involved procurement, terminal and storage arrangements, blending, transportation coordination and delivery at ports, all of which are operationally important in maritime fuel supply. Chemoil became a public company when its shares were listed on Singapore Exchange Securities Trading Limited on 14 December 2006. A major leadership transition followed the death of founder Robert Chandran on 7 January 2008. Chandran died from injuries sustained in a helicopter crash in Indonesia’s Riau Province. On 14 January 2008, the company announced that Clyde Michael Bandy, previously its lead independent director, had been unanimously appointed chairman and chief executive officer. Bandy retired in 2010, and Tom Reilly became chief executive officer in January 2011. Ownership shifted again when Glencore acquired a majority stake in Chemoil in December 2009. Glencore increased its holding to 89.04 percent in 2012. In February 2014, Glencore Xstrata announced an intention to acquire the remaining interest and remove Chemoil from public trading. Chemoil was voluntarily delisted from the Singapore Exchange in April 2014. The move transferred the company from a listed independent structure into full ownership within the Glencore group. The post-acquisition period included significant executive turnover. Tom Reilly left his position as chief executive officer of Chemoil Corporation effective 30 June 2014. Michele J. Swanson, a former Chevron senior vice president, then served as president and chief executive officer until her departure in 2017. Public reference material provides limited detail about Chemoil’s organization, branding and operating status after that period. Accordingly, the company is best characterized historically as a multinational physical marine-fuel supplier that became part of Glencore’s commodities portfolio, while its current standalone status remains unclear.

• 2014

  Delisting and move toward full Glencore ownership

  [1]Chemoilen.wikipedia.org

  Glencore announced plans to acquire the remaining shares, and Chemoil was voluntarily delisted from the Singapore Exchange in April.

• 2012

  Glencore raises ownership to 89.04 percent

  [1]Chemoilen.wikipedia.org

  Glencore increased its Chemoil stake to 89.04 percent.

• 2009

  Glencore takes a majority stake

  [1]Chemoilen.wikipedia.org

  Glencore acquired a majority interest in Chemoil.

• 2008

  Founder dies and leadership changes

  [1]Chemoilen.wikipedia.org

  Robert Chandran died in January, and Clyde Michael Bandy became chairman and chief executive officer.

• 2006

  Singapore Exchange listing

  [1]Chemoilen.wikipedia.org

  Chemoil Energy Limited was listed on Singapore Exchange Securities Trading Limited on 14 December.

• 2003

  Panama expansion

  [1]Chemoilen.wikipedia.org

  Chemoil expanded into Panama, strengthening its presence near a strategically important shipping route.

• 2000

  Singapore expansion

  [1]Chemoilen.wikipedia.org

  The company expanded into Singapore, a major international maritime and bunkering center.

• 1998

  European entry through Rotterdam

  [1]Chemoilen.wikipedia.org

  Chemoil entered Europe by establishing an office in Rotterdam.

• 1997

  New York expansion and Itochu investment

  [1]Chemoilen.wikipedia.org

  Chemoil entered New York and Itochu Corporation acquired a 50 percent ownership interest.

• 1986

  Expansion to Houston

  [1]Chemoilen.wikipedia.org

  Chemoil expanded its US operating footprint to Houston.

• 1981

  Chemoil is founded in California

  [1]Chemoilen.wikipedia.org

  Robert Chandran founded Chemoil in California as a marine-fuel trading and physical supply business.

An independent physical marine-fuel supplier and bunker-services operator with a multinational port and trading footprint, later controlled by Glencore.

• Marine fuel

  Marine fuel oil

  Chemoil’s core commercial activity was the physical supply of marine fuel oil for ships in port. The company sourced fuel from different suppliers and coordinated the movement, storage and delivery of petroleum products to oceangoing vessels. Customers included container fleets, tanker operators, time-charter businesses and marine-fuel traders. The available reference material does not specify individual grades or branded formulations.

• Marine fuel

  Blended bunker fuels

  Blending was part of Chemoil’s physical supply model. The company combined or adjusted fuels sourced from different suppliers before delivery, using its storage and logistics network to prepare products for maritime customers. Specific blend names, technical specifications and product-level brand architecture are not identified in the supplied references.

• Marine logistics service · 1981

  Ship bunkering services

  Chemoil provided fueling services for ships in port. This involved arranging the physical delivery of marine fuel to vessels rather than merely brokering a paper transaction. Its network of operations in North America, Europe, Singapore and Panama supported customers calling at major maritime hubs.

• 2014

  Glencore pursues full ownership and delistingM&A

  Background

  Glencore had increased its interest in Chemoil to 89.04 percent by 2012 and sought to consolidate the remaining ownership of the marine-fuel supplier.

  Action taken

  Glencore Xstrata announced plans to acquire the remaining shares and take Chemoil off the Singapore Exchange. Chemoil was voluntarily delisted in April 2014.

  Aftermath

  Chemoil became a privately held company within the Glencore group, and several senior executives subsequently departed or changed roles.

  Source

1. 1Chemoilen.wikipedia.org
2. 2Ship & Bunkershipandbunker.com