Associated British Ports (ABP) has signed a new long-term lease and commercial agreement with Valero at the Port of Cardiff, securing the future of one of South Wales’s most important fuel supply and storage facilities.
The agreement covers Valero’s 12-acre liquid fuels terminal at Roath Dock, the largest facility of its kind at the port, and reinforces Cardiff’s role as a key energy hub serving south Wales, southwest England and major transport corridors including the M4 and M5.
“We are delighted to extend our partnership with Valero at the Port of Cardiff, supporting vital fuel supplies and critical jobs across south Wales for decades to come,” said Richard Butler, lead commercial manager at ABP.
“This new agreement with Valero demonstrates our shared commitment to support regional economic activity and ensuring the capital city region continues to benefit from reliable access to essential energy supplies.
“This investment also reflects ABP’s long-term confidence in Cardiff and our role in supporting the UK’s energy security.”
The deal provides long-term certainty for Valero, one of the world’s largest independent petroleum refiners, which has operated at Cardiff since 1996.
A significant aspect of the agreement is the continued use of coastal shipping routes linking Valero’s Pembroke refinery with Cardiff. By transporting fuel by sea rather than road, the operation removes thousands of heavy goods vehicle movements from the road network each year, helping ease congestion and improve transport efficiency.
As part of the arrangement, ABP will invest in port infrastructure to support Valero’s future investment plans and enhance the resilience of the terminal. The company said the agreement is expected to deliver long-term economic value while strengthening the port’s position within the UK’s energy supply chain.
Liquid fuels continue to account for the majority of transport energy consumption in the UK, and ABP said the Port of Cardiff will remain a vital part of maintaining secure and resilient energy supply chains as the country progresses through its energy transition.
