Expansion of the Singapore Refining Company
SRC expanded the 65,000 b/d refinery to 170,000
b/d in 1980, and then again to 285,000 b/d in 1996.
It was a shrewd investment as BP profited from
its one-third holding in SRC for more than two
decades. Mr Norton, Managing Director of BP
(1978-1981), said, ”Some people said to me, when
we first embarked on SRC, that joint refineries
are always a handful of trouble. And three
somewhat dissimilar partners would introduce
delays so the whole project might end up more a
liability than an asset. But look at how we ended
up – SRC has proven its critics wrong.” He was
especially proud about the role which BP played
in the refinery expansion project.
At the inauguration ceremony (from left): Messers Clifton Hon, Caltex; Mr Tan
Boon Teik, SRC; Yeo Chew Tong; Struan Robertson, BP; Cheng Hong Kok,
SPC; and J.J. Rinck, SRC.
greater involvement in oil trading in the East. The
Within SRC, BP was the partner chosen to perform
a host of technical back-up services. This was a role
BP had undertaken willingly, Norton explained.
Under various agreements signed, the company
took on the project management and coordination
of the 100,000 b/d refinery expansion and
seconded staff to SRC from both its London and
Singapore offices in 1980. With its share of the new
processing refinery, BP was gearing up towards
advantages of having a stake in SRC were many
apart from replacing lost Middle Eastern capacity,
it also gave BP refining base closer to the Far
East markets. Furthermore, BP, through SRC,
”will also have greater ability to benefit from new
sources of crude in the East should they become
available,” said Norton.
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