West Indies Petroleum Limited (WIP), which controls nearly a third of Jamaica's fuel market, has spun off its retail and commercial fuel distribution business into a standalone company, WIP Energy Limited, as part of an aggressive growth strategy aimed at increasing market share while driving lower fuel costs.
According to Charles Chambers, CEO of WIP and Executive Director of WIP Energy, "This strategic restructuring will allow WIP Energy to pursue a more focused growth strategy in the retail and commercial fuel distribution sector. By creating a standalone entity, we're enabling more efficient capital allocation and operational autonomy, which are crucial for capturing the significant growth opportunities we see in the Jamaican market.
"WIP Energy will focus on domestic fuel distribution, WIP Terminal on import and storage operations while the parent company concentrates on bunkering and regional sales,” Chambers expounded as he highlighted that the restructuring allows each business to optimize its operations.
Highlighting that WIP Energy supplies approximately 80% of the country's independent gas stations, Chambers explained, "When independent operators can purchase fuel at better prices, they can compete more effectively and maintain healthier margins. This creates a ripple effect throughout the economy, from transportation companies to manufacturing facilities - all of which depend on reliable and affordable fuel supplies to maintain competitive operations."
The company has also announced a robust board of directors comprised of former NCB Financial Group (NCBFG) Chief Executive Officer Patrick Hylton as Chairman, former NCBFG Chief Financial Officer Dennis Cohen, former Group General Manager at the Petroleum Corporation of Jamaica Winston Watson and founding partner of Lewis, Smith, Williams and Company, Attorneys-at-Law and Trademark Agents Kathryn Lewis-Green as independent directors. Well-respected industry veteran Gordon Shirley, WIP executives Danville Walker, Senior Vice President and Tarik Felix, Head of Commercial Operations join Chambers in completing the slate.
Wayne Fraser, WIP’s Head of Operations, has also been appointed as general manager of WIP Energy.
While WIP Energy operates independently, it maintains strong ties with its parent company, ensuring continued access to WIP's import capabilities and substantial storage facilities of over 700,000 barrels.
