Question to the Department for Energy Security & Net Zero:

To ask the Secretary of State for Energy Security and Net Zero, whether he has had discussions with the Official Receiver on the inability to find a buyer for the Prax Lindsey oil refinery.

The Official Receiver (OR) decided to cease refining operations at Prax Lindsey Oil Refinery on 21 July 2025. However, the sales process continued to be run in parallel, and the OR has received a range of proposals - from specific asset acquisition to acquisition of the entire Immingham site to purchasing the refinery as a going concern. The OR has progressed a small number of parties to the next phase of the sales process. This is based on an assessment of their proposals with regard to providing the best outcome for the Company’s creditors in line with the liquidator’s statutory duties. The OR aims to conclude negotiations with interested parties by mid-October.

The Government is providing the OR with short-term funding to cover the essential operating costs of the site. The final operating cost will depend on market conditions and the strategy adopted by the OR. Parliament will be kept informed of the associated costs through the usual budgetary and reporting mechanisms.

Ministers have held several meetings with the OR since the insolvency was announced. Insolvency legislation clearly determines the actions that are undertaken by the liquidator, which is the OR. The OR must act independent of Government, in accordance with statute, and they are accountable to the court. As an independent office holder, the OR cannot be directed by Government.