BP Shuts Down Pipeline Serving Scottish Refinery

The Forties pipeline system, which pumps crude oil from the UK North Sea, is set to shut down tonight as workers at Scotland's Grangemouth refinery prepare to strike next week.

Pipeline operator BP announced the pipeline would close before power from the refinery is switched off tomorrow, ahead of a 48-hour stoppage starting on Sunday following a dispute over pensions.

The pipeline supplies 700,000 barrels of oil a day, equivalent to 20 percent of North Sea oil production.

The shutdown will cost the UK economy about £50m a day, including about £25m a day in revenues to the exchequer, writes The Times.

Trade union Unite's General Secretary Tony Woodley has warned the strike could escalate and is set to address a mass meeting of workers at the refinery today.

Britain's Energy Minister Malcolm Wicks has announced that petrol supplies across the country will not be affected but acknowledged that some motorists could be hit by shortages at some filling stations.

By staff writer