Negotiations entered into the future of Vivergo

Associated British Foods (AB Foods) has released a statement following news it may shut down one of the UK’s two bioethanol plants unless it receives government support.
The spokesman said: “We are extremely pleased to be entering the next phase of formal negotiations with Government over the future of Vivergo.
“We believe it is a very positive signal that Government recognises the strategic importance of a domestic bioethanol industry and is serious about working with the sector to find a sustainable long-term future. We look forward to engaging intensively and constructively with ministers over the coming weeks.
“ABF cannot continue to absorb losses at the plant. That is why a timely solution is vital. Our clear preference is to find that solution through this process and to get back to running a business that can thrive in the long term.
“In parallel, we have entered into a consultation process with our employees - a necessary step given there can be no guarantee that the negotiations with Government will be successful. Our employees are our most important consideration, and we will engage with them properly and transparently about the future. Consultation is not a fixed outcome - and closure is not a certainty. The outcome depends on the progress we are able to make through negotiations with the Government. Our goal is for that outcome to be positive.
“We want to keep Vivergo operating. We have invested hundreds of millions of pounds in it. We have fought hard to save it - and the potential ahead is enormous. Just days ago, we signed a £1.25 billion Memorandum of Understanding with Meld Energy to anchor a world-class Sustainable Aviation Fuel facility at the site. There is a real opportunity for Hull to be home to one of Britain’s most exciting clean fuel clusters.
“ABF has always been and remains a long-term UK investor with a consistent record of supporting UK industry and jobs. We are committed to playing a lasting role in the country’s green industrial future.”