Cargill completes sale of petroleum business to Macquarie

cargillSINGAPORE: Commodity trader Cargill Inc completed the sale of its petroleum business to Australian investment bank Macquarie Group Ltd on June 30, a company spokeswoman told Reuters on Friday.

The company will continue to offer financial and price risk management in petroleum markets through its Risk Management business, she said in an email reply.

“That business provides hedging products in more than 70 commodities, including energy, and will continue to do so,” she added.

Cargill’s petroleum business includes crude oil and oil products trading. The company will remain active in edible oils in the food and agriculture space, she said.

The sale of Cargill’s petroleum business, first announced in March, is the latest reshuffling following an almost three-year slump in oil prices.

Macquarie also announced in mid-June that it would acquire Cargill’s North America power and gas business for an undisclosed amount.

It was not immediately clear how many traders had left Cargill’s oil trading team or how many were transferred to Macquarie.

Macquarie declined to provide further details beyond the initial announcement of the sale.

Macquarie, which operates a global oil business active in both financial and physical markets, will see the deal expand its footprint, by adding facilities in Geneva, Switzerland and Minneapolis, Minnesota.