Lindsey Oil Refinery workers kept on as future of site hangs in balance
The union representing workers at Lincolnshire's under threat oil refinery say it's closure would be devasting
Last updated 1st Jul 2025
Around 400 workers at Lindsey Oil Refinery in North Killingholme will keep their jobs for now as the site’s future is decided.
It comes following the collapse of its owner, Prax Group, which has gone into liquidation after a High Court ruling.
Several Prax companies, including Lindsey Oil Refinery Limited and its storage and terminal operations, are affected.
The court has appointed the UK’s Official Receiver to oversee the process, with support from FTI Consulting.
The parent company, State Oil Ltd, is now in administration under Teneo.
Operations at the North Lincolnshire site are continuing, and officials say the immediate priority is keeping things stable while options are explored.
“strategically important"
Union Unite has urged the Government to step in, calling the refinery “strategically important.”
General Secretary Sharon Graham said government inaction has put the oil and gas sector “on a cliff edge” and demanded urgent plans to protect jobs and fuel supplies.
Energy Minister Michael Shanks acknowledged “longstanding issues” with Prax and said workers have been badly let down.
He confirmed the Secretary of State is ordering an investigation into the conduct of Prax’s directors and promised the Government would support both workers and the local community.
Despite being one of the UK’s few refineries, Lindsey is the smallest and has been losing money, around £75 million since Prax bought it in 2021.
Financial concerns were raised repeatedly, with officials saying Prax failed to provide clear answers about the refinery’s viability.
The larger and more profitable Phillips 66 Humber refinery nearby continues to operate as normal.