Granada is axing Esso as its main fuel supplier for all the company’s motorway service stations, and handing the contract to BP.
The deal, which BP claims will allow it to sell 1bn worth of petrol, covers 14 stations. It will also mean that Granada, like BP, will now offer Argos Premier Points to its customers.
Under the scheme, which was inherited by BP when it merged with Mobil last year, customers can redeem points against products in the Argos catalogue.
BP already supplies three of the 14 Granada-branded service stations which are owned by Granada. Nine are supplied by Esso and two by Texaco and Total. There are 15 other stations not owned by Granada, which are supplied by the oil companies that own them.
BP will now supply more than 180 million litres of fuel to the network each year, about 0.5 per cent of the UK’s total fuel market, making it the largest supplier of motorway fuel.
A spokesman for BP says that the deal is the first of many with Granada and that he expects the two companies to work more closely in the future.