Jamaica Gleaner: Shell Jamaica sell-out - Joe Issa, Neal &
Massy clinch deal
published: Wednesday | November 23, 2005
Byron Buckley, News Editor
Roger Bryan (right), country chairman for Shell
Company (WI) Limited in Jamaica, and Lauran Wetemans,
project manager, tell The Gleaner of the decision to sell
the company, at its Windward Road office in Kingston
yesterday. - RUDOLPH BROWN/CHIEF PHOTOGRAPHER
MULTINATIONAL PETROLEUM company Shell yesterday
announced the sale of its 56 service stations in Jamaica to
Cool Petroleum Holdings Limited, which is jointly owned by
the Joe Issa-led Cool Corp. Limited and Trinidad-based Neal
& Massy Industrial Gas Holdings Limited.
Under the agreement, to be completed by year-end, Cool
Petroleum Holdings will purchase Shell's retail, commercial
fuel, lubricants, liquefied petroleum gas and chemicals
businesses, and the main distribution depot at Rockfort in
Kingston, the company disclosed in a press statement
yesterday.
"The Shell brand stays in Jamaica. We have got a
long-term agreement to keep the Shell brand on our service
stations in Jamaica," Roger Bryan, Shell's country chairman
for Jamaica, told The Gleaner.
Project Manager Lauran Wetemans explained that the
Dutch oil company was not totally withdrawing from Jamaica.
"Shell is basically changing its business model ...
and we will continue to supply products to the Jamaican
market," he explained.
Commenting on the purchase, Cool Corp. Chairman Joe
Issa noted that "as a Jamaican, I am proud to be part of an
increasing ownership in our own country, which is an
integral part of the CSME (CARICOM Single Market and
Economy). It is our goal to expand this business, which we
all recognise is 'best of brand', and we are excited at the
opportunity before us. We are pleased to have as our
partners, the Neal & Massy Group."
Added Bernard Dulal-Whiteway, chief executive officer
of Neal & Massy Holdings: "In accordance with the principles
and goals of the CSME, the Neal & Massy Group is happy to
continue investing in the single market. This acquisition is
in keeping with our vision to be a major pan-Caribbean
enterprise and aligns us with a creative and entrepreneurial
partner in Jamaica, the largest market in the CSME."
Yesterday's announcement of the sale agreement ends
months of anxiety over the fate of Shell's 122 local
administrative staffers by the National Workers' Union (NWU),
which represents supervisory and clerical employees at the
company.
Danny Roberts, vice-president of the NWU, reacted
cooly to news of the sale, noting that he became aware
through the media.
He added, however, that a workers' meeting would be
held at noon today to discuss the issue.
"The question of how it will affect the contract of
employees has to be discussed. The question of redundancy
payment may not arise now for Shell, but the new owner may
decide to lay off staff," noted Roberts.
But Shell's country chairman said he did not
anticipate any "substantial changes" to the staff numbers.
"In fact, we may even see an increase in staff complement
because a lot of services that were done overseas will now
have to be done in Jamaica," Bryan said.
The Cool Group of Companies was founded 10 years ago
and has more than 400 employees with annual sales of US$100
million. The Neal & Massy Group is a conglomerate operating
in most of the English-speaking Caribbean. It has a staff
complement of 4,000 with more than US$600 million in sales.