Three-month lifeline for oil plant

An oil refinery that recently went into administration has been handed a lifeline that will allow work to continue for three months.

The move should give administrators more time to find a buyer or seek refinancing.

Swiss group Petroplus, owner of the Coryton plant in Essex, filed for administration last month, prompting fears for up to 1,000 jobs.

Administrators PwC earlier this month acquired a cargo of oil to keep work going at the refinery, which supplies 20% of fuel in London and the South East.

The plant's latest lifeline has seen financiers Morgan Stanley, KKR Asset Management and AtlasInvest agree to pay to refine oil there for the next three months.

PwC joint administrator Steve Pearson welcomed the news, saying: "I am delighted to have reached this arrangement.

"It is the culmination of constructive negotiations over many days and it creates vital stability at the refinery whilst we find a restructuring solution."

Copyright Press Association 2012