The union Unite has challenged the government to demonstrate “whose side it is on” after Phillips 66 agreed to acquire the assets of the Prax Lindsey oil refinery following its collapse into administration.
The Texas-based group will take over the Lincolnshire site after a sales process run by FTI Consulting, but does not plan to restart full-scale crude oil processing, instead integrating storage and infrastructure with its neighbouring refinery.
Sharon Graham, Unite’s general secretary, said the government should “ensure this sale retains and creates jobs”.
She added: “The Labour government needs to finally get into gear. Its net-zero policies are hurting workers. It’s time it showed them whose side it is on.”
The refinery employed around 420 people before its collapse in June 2025, which triggered layoffs.
Michael Shanks said the deal “marks the next step in securing an industrial future for the Lindsey site”, adding that Phillips 66 was “the most credible bidder which can provide a viable future for this site”.
Shanks said the agreement guarantees employment for remaining staff until the end of March and would “boost domestic energy security and securing jobs, including hundreds of new construction jobs over the next five years”.