As has been confirmed by both the parties involved, commodity trader Glencore has purchased a 51% stake in Singapore's marine fuel supplier Chemoil Energy Ltd, in addition to offering buying all remaining shares as well. The deal will give Glencore both storage assets and trading leverage.

Although the total amount involved in the deal has not been disclosed, it has been shared that Glencore is offering $0.3552 per share in cash for the remaining shares, which is an 18% discount on Chemoil's last recorded trading price.

Till so far this year, Chemoil's stock has more than doubled, driven mainly by speculations of a possible takeover and improving oil prices. "The valuable part of Chemoil is the terminals. If you look down the road, the terminal business is still better than the trading business -- it's not as up and down and it's pure profit", said Ong Eng Tong, an independent oil consultant.

The purchase into Chemoil has given Glencore a much valuable marine fuels business across the US, and huge amounts of fuel storage terminal assets across Asia and the Middle East.