Toll Group Snags $250 Million Shell Contract

Toll Holdings Limited snags $250 million Shell contract

This latest agreement furthers the partnership between fuel provider Shell and transporter Toll.

Justin Loiseau

Justin Loiseau hails from the great united state of North Carolina, where he started his first business at the ripe age of five: melting crayons into candles. With the infamous Crayola Crash of 1994, Justin moved on to study economics and environmental studies as a Morehead-Cain Scholar at the University of North Carolina. He has worked in a variety of sectors across the globe, from management consulting to the United Nations, and once spent three months examining invasive snails in Vietnam. Justin discovered The Motley Fool in 2012 and it’s been love ever since. Creativity, contrarianism, kerfuffling… what more could one want? When he’s not playing the Fool, you can find Justin at the University of Auckland, where he is pursuing a Masters in Economics as a Rotary Ambassadorial Scholar. Justin finds biogas digesters fascinating and can unicycle a mile in seven minutes.

Published January 31, 2014 6:14 am AEDT

Transport and logistics company Toll Holdings Limited (ASX: TOL) announced Thursday that it has snagged a five-year $250 million contract with energy company Royal Dutch Shell Plc (LON: RDSA).

Toll Group will haul Shell's bulk fuel across the nation to service stations in Queensland, New South Wales, Victoria, South Australia and Western Australia.

For Toll, this latest agreement further bolsters the two-sided relationship the company has with Shell. As both a significant user of transport fuel, as well as a supplier of bulk fuel transport, Toll is uniquely positioned to engage in partnership with Shell.

"We are really pleased to be expanding our business with Shell," said Toll Liquids manager Tim Kehoe in a statement. "Our businesses are well aligned in our determination to put safety first at all times and Shell has recognised this in awarding the work to Toll. This contract supports our fuel distribution strategy perfectly and further confirms Toll's commitment to sustainable investment in the sector."

Pending final arrangements, the deal should be sealed in the next few weeks.

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