German gas company Uniper is seeking bids from interested firms for its oil refinery in the UAE to recover losses, reported Bloomberg News.
The move comes after a $39.3bn loss was incurred by the German utility company in the first nine months of 2022, as a result of Russian supply cuts.
Uniper has received interest for its UAE refinery from several parties, including Swiss Commodity firm Vitol Group, according to the news agency.
According to people familiar with the matter, a potential sale agreement for the refinery could be signed as early as this year.
Located in the UAE port of Fujairah, Uniper’s refinery is equipped to produce shipping fuel and has a capacity of 80,000 barrels per day.
Uniper’s Fujairah refinery is located on the grounds of an oil storage terminal, which is partly owned by Vitol Group and UAE state-owned Abu Dhabi National Oil Company (ADNOC).
Fujairah comprises several storage facilities for crude oil and refined products.
Earlier this year, the German Government agreed to nationalise Uniper by acquiring a 99% stake in the gas importer amid the increasing energy crisis due to Russian gas supply cuts.
Germany and Uniper have also agreed to modify the package of measures announced in July 2022, increasing the bailout package for the firm to a minimum of €29bn.
Uniper recently reported a net loss of €40.37bn in the first nine months of 2022, compared with a €4.76bn loss in the same period of 2021, due to reduced Russian gas deliveries.
Sales for the first nine months of 2022 stood at €213.303bn, an increase from €78.49bn in the first nine months of 2021.