Indian conglomerate Essar Group has announced an agreement to acquire SGN Retail, a UK-based company that operates 118 petrol stations. The deal, for an undisclosed sum, will double Essar's existing network of forecourts in Britain.

This acquisition is a key step in Essar's long-term strategy to establish a network of 800 petrol stations across the UK by 2031, which would give it an estimated nine percent share of the market. The company sees potential for growth in the British fuel retail sector, citing factors such as an increasing number of households with multiple vehicles, population growth, and a diminishing number of available forecourts.

Arvan Ruia, chief executive of EET Retail, Essar's fuel retail arm, stated that building a scaled, vertically integrated retail forecourt platform is a critical component of their UK strategy. He added that SGN Retail possesses a high-quality network and that this acquisition accelerates their plan to create a nationwide platform supplied directly from Essar's refinery.

Essar acquired the Stanlow refinery from Shell in 2011 and it produces approximately 270,000 barrels of oil per day. Following the SGN Retail acquisition, these newly acquired sites will be supplied by Essar's own refinery.

The UK has approximately 8,300 fuel forecourts. Major oil companies like BP and Shell have been divesting from direct ownership of forecourts, often preferring them to be operated by retail specialists. Companies such as ExxonMobil and Chevron typically franchise their brands with secured supply agreements.

SGN Retail, founded in 2016 and based in Dunmow, Essex, is an independent operator. In November 2025, it acquired Rusdene Services. Industry valuations for fuel forecourts have recently been around £3.5 million per site, suggesting a potential valuation of approximately £400 million for SGN's portfolio.

The deal comes amid rising petrol prices in Britain, which have reached a four-year high. The average price of a litre of unleaded fuel has climbed to 168.46p, the highest since September 2022, according to the RAC. This surge is attributed to escalating costs of oil and wholesale fuel, influenced by recent developments in the Middle East. Brent crude is trading around $108 a barrel, following an 8.6 percent increase the previous week.