Chevron Sells NZ Fuels and Lubes Unit

Chevron has sold its New Zealand Caltex gasoline service-station network and lubricants interests to Z Energy, the company born out of Shell's NZ fuel distribution business acquired five years ago.

Z Energy's agreement with a subsidiary of Chevron Corp. to pay NZ $785 million (U.S. $553 million) for 100 percent of Chevron NZ is subject to approval by the country's competition regulators. Chevron NZ's assets include a gasoline retail network of 220 stations plus a lubricant distribution business.

Chevron NZ sells lubricants under the Caltex brand in New Zealand, with packaged products imported, warehoused and distributed to service the local transport market.

It's a small part of the business, Z Energy spokesman Jonathan Hill told Lube Report Asia. Until now, Z Energy hasn't held any lubricants assets, he added. Asked if Z Energy planned to keep the Caltex branded lubricant business, Hill said that it hasnt made a decision. We are taking it one step at a time. Regulatory approval isn't expected until later in the year.

A week earlier, Chevron sold to investors its 11.4 percent stake in Refining NZ in a trade valued at more than NZ $82 million. The countrys only refinery is owned by a consortium that also includes BP, Mobil and Shell.