The Lindsey Oil Refinery in northern England will shut down by the end of July after efforts to find a new buyer failed, the UK government has announced.

The refinery, previously run by energy firm Prax, entered insolvency in June. Since then, an official receiver has overseen its operations while searching for a buyer to keep the facility running. However, no credible offers were received, leading to the decision to close the site.

Located near Grimsby, Lindsey is one of only five oil refineries still operating in the UK and has the capacity to process 113,000 barrels of crude oil per day. It currently employs around 420 people.

Energy Minister Michael Shanks, in a statement to parliament, said the refinery would continue processing crude until the end of the month, with refined fuels sold over the following weeks to help customers manage supply adjustments.

Shanks also criticised Prax’s leadership for putting the refinery in what he called an “untenable position” and urged the company to support workers by offering financial assistance.

Prax’s CEO, Sanjeev Kumar Soosaipillai, has not responded publicly. Meanwhile, Prax’s parent firm, State Oil Limited, has filed a lawsuit against him, accusing him of breaching his duties to the company.

Though the refinery is closing, the official receiver is still trying to sell other assets under Prax, which also owns the Lancaster oil field and fuel brand Harvest Energy.

The shutdown marks a significant change in the UK’s refining industry and is expected to have an impact on both the local economy and national fuel supply planning.