CNC approval of CEPSA’s Chevron España takeover conditioned on commitments

The Comisión Nacional de la Competencia has approved Compañía Española de Petróleos, SA (CEPSA)’s takeover of Chevron España (CHESA). The approval is conditioned on CEPSA fulfilling its proposed commitments intended to resolve competition concerns in the Spanish liquid hydrocarbon market. Under the terms of the deal, CEPSA is to acquire 100 percent of the share capital and full control of CHESA. The CNC accepted CEPSA’s four proposed commitments, outlined below:

1. Allow operators to rescind, unilaterally and without penalty, their respective obligations for exclusive purchase of CEPSA products. This is to give CEPSA customers the option of using other suppliers.
2. CEPSA is to maintain the same into-plane services provider that CHESA was using, for a three-year transitional period, in the airports where CHESA supplies aviation fuel and CEPSA provides into-plane services.
3. Carboex’s unilateral right will be recognized by CEPSA, in a commitment designed to offset CHESA’s exit from the market for storing fuel for electricity general facilities
4. CEPSA will not import, store or market “bunker” fuel through the Las Palmas Terminal, and to use that terminal only for fuel destined for the automotive and electricity markets, industrial use or intermediate products relating to said uses, for a period of three years

Full content: Comision Nacional de la Competencia

Related content: The New Spanish Competition System (Carlos Pascual Pons, Spanish National Competition Commission)