Treasury silent on claims it gave £100m loan to US tycoon Gary Klesch for Milford Haven oil refinery takeover

Caitlin Morrison
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Milford Haven oil refinery in Wales was sold to the Klesch Group in June of this year (Source: Getty)
The Treasury yesterday refused to confirm or deny reports that it has granted US businessman Gary Klesch £100m worth of loan guarantees to help him in taking over the Milford Haven oil refinery in Wales.

Klesch is founder and chairman of a Geneva-based global industrial commodities business, made up of three divisions which specialise in the production and trading of chemicals, metals and oil.

The Klesch Group agreed to buy Milford Haven from Murphy Oil for an undisclosed amount in July 2014, saving 400 jobs at the Welsh operation.

Since signing that deal, Klesch has stated that he is considering up to six similar investments over the next two years in England, Germany, Italy, France and central Europe.

Last week, Indian company Tata confirmed that it was in talks to sell its European steel operations, which includes sites in Teesside, Scunthorpe, Newcastle and Edinburgh to the Klesch Group.

Klesch could not be reached for comment yesterday.

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