Shell will stop directly supplying bitumen to some of its low-volume customers in Germany, with effect from 1 April.
Shell told customers it has restructured its bitumen distribution channels and can no longer directly distribute to certain customers, according to an email from Shell's bitumen supply unit in Germany seen by Argus. It recommended they instead buy from German bitumen trading and supply firm Bitumina Handel.
Neither Shell Germany nor Bitumina Handel have commented, but Argus understands the oil major, which is one of Europe's leading refinery bitumen producers, has concluded a deal with Bitumina to take over supply to its affected customers.
The move is part of a wider switch by Shell to focus more on trading bitumen cargoes and less on directly supplying truck volumes to inland customers.
The company ended a long-term throughput and supply arrangement into the French market through the Nantes and Bayonne terminals on the French Atlantic coast. Spain's Repsol and Moeve have taken over those operations.
Shell last year ceased its South African bitumen retail and truck supply operations.
Shell's European bitumen production is at its 187,000 b/d Godorf refinery in western Germany and at its 447,000 b/d Pernis refinery in Rotterdam.
The firm recently stopped processing crude at the 147,000 b/d Wesseling section of its 334,000 b/d Rhineland refinery complex. The effect of that on bitumen production at Godorf, the other section of Rhineland, is unclear.
