Sale rumors swirl amid shakeup in Irving Oil management

Nearly 48 hours after the news broke that Arthur and Sarah Irving have stepped down from their roles in the Irving Oil family empire, the company has yet to confirm the change.

“It’s probably a good idea to tell the community that they’ve stepped down, I just don’t understand why,” says Jupia Consultants Inc. president. “Obviously the Irving family still owns 100 per cent, so any major decision they would still have to make. So the reason they stepped down, I’m not sure.”

David Campbell, who is also the provinces former chief economist, like many others, expects big changes coming to the refinery in the near future. He says a sale of some degree of the company feels imminent.

The news of Arthur and Sarah Irving stepping down follows a statement released by the company in June, saying Irving Oil is undergoing a strategic review, which could involve the full or partial sale of some assets.

“Of course the head office is a hugely important economic driver in the City of Saint John,” says Campbell. “It has lots of high wage jobs, and theirs lots of economic activity associated with that office. Even if the refinery remains in Saint John and remains operational for a number of years. Obviously the head office would leave, similarly to what happened to NBTel in Saint John 20 years ago.”

Green Party leader David Coon was just as surprised as anyone upon hearing about the shakeup in top management.

“To have Sarah Irving just vanish from the leadership team of Irving Oil is surprising,” admits Coon. “My hunch would be that it means the company is going to be sold, but we will see.”

Recent changes to “cleaner energy options” in the country may also have played a factor in the change of management.

“It’s very possible that another company might diversify the direction of Irving Oil to recognize the realties we are facing with the climate crisis,” Coon says. “Certainly Ken Irving quite a few years ago seemed to have grasped that reality and urgency for the company to diversify.”

A potential multi-billion dollar sale of the company would likely be the largest ever seen in the province, and could have long lasting impacts.

“Are they going to continue to invest in Saint John, continue to invest in New Brunswick in new industries and deploy that capital in the province, or if the sell the company would they deploy that company elsewhere around the world,” questions Campbell. “The company has been around for 100 years as I understand and we hope they are investing in New Brunswick, investing in its communities, and investing in its people for many years to come.”

Premier Blaine Higgs, who spent decades working for Irving, says he still has not heard anything further about a potential sale of the company. He also has not requested a meeting with Irving officials to find out more information.

Irving Oil operates the largest crude refinery in Canada. The company currently has over 4,000 employees and operates around 900 retail gas stations in Atlantic Canada and New England.

Irving Oil has yet to respond to any of CTV Atlantic News inquires.

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