Oil Trader Vitol Jumps into EV Fleet Business
(Bloomberg) -- Vitol Group, the world’s biggest independent oil trader, is jumping into the electric-vehicle fleet business.
The Rotterdam-based trading house formed a $250 million joint venture with BYD Co., a Chinese EV and battery maker, it said in a statement. The new service will offer electric-car fleet services and charging infrastructure to cities, companies and other organizations.
It’s the latest foray by Vitol, which handles more than 7 million barrels of oil a day, into renewables and green energy. The company has invested over $1 billion in solar, wind and other cleaner fuels as governments and consumers seek more environmentally friendly energy sources and producers diversify away from the dirtiest fuels.
Vitol has also invested in transportation infrastructure with investments in fuel stations in emerging markets. It has even started buying used cars in Pakistan and Turkey.
The new venture will target “organizations, private and public, looking to decarbonise their fleets through electrification,” Vitol said.
The energy trader didn’t specify what markets the JV would target, but said it has already deployed over 300 electric buses in Bogota, Colombia, and would look for more opportunities in South America.
© 2021 Bloomberg L.P.
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