Regency Petroleum Company Ltd expects stronger sales in the wake of Hurricane Melissa.
“People are signing up for our membership programme in droves,” according to founder and CEO Andrew Williams in a Financial Gleaner interview. “We’ve kept prices stable, and that’s helped us triple sales in some areas.”
Hurricane Melissa’s impact on Jamaica’s economy has been severe, with preliminary national damage estimated at over $8 billion. The company operates mostly from Westmoreland and St Elizabeth. Tourism – a key income earner in Westmoreland – has ground to a halt, with major resorts closed until early 2026. Yet, residents and relief agencies seek petrol-based products to sustain their livelihoods.
“The company has not seen any material decline in volumes sold following the hurricane, but an increase in sales as Westmoreland residents and visitors seek petrol-based products,” according to the financial report.
Regency added that the company was in dialogue with its LPG customers who maintain credit terms with the business, as it seeks to work with them in this “difficult period”.
The windfall, however, also came with damage to the company’s assets, including its Crawford filling station in St Elizabeth, and its Paradise Pen service station in Westmoreland. The company has managed to keep fuel flowing and margins intact.
“Crawford was the worst hit,” said Williams. “The plant was badly damaged – pipelines, scales, and our administrative office, which was a 40-foot container, were all affected. That container blew over completely, damaging the scales attached to it.”
The Crawford facility, which serves Regency’s liquefied petroleum gas (LPG) business, sits near the hurricane’s epicentre. Williams explained that while the storage tanks escaped harm, repairs to pipelines and equipment will require significant capital outlay. Skilled contractors are yet to return to work as many were personally affected by the storm.
Paradise Pen, meanwhile, reopened earlier this week after emergency repairs to pumps and dispensers. “We had some looting at the convenience store and lost equipment like water pumps and computers,” Williams said. “But we prioritised getting fuel back on stream because demand is high.”
The combined repair bill for Crawford and Paradise is estimated at $35 million to $40 million, though Williams said that all locations were insured. “We’re waiting on assessors to complete evaluations before we move forward,” he said.
Lifeline for hotels
Despite the physical setbacks, Regency has seen a surge in volumes sold, particularly in Negril, where uninterrupted fuel supply has been a lifeline for hotels and transport operators left without electricity. Williams noted that the company maintained its usual margins and loyalty discounts, avoiding accusations of price-gouging.
The company operates service stations on Spanish Town Road in St Andrew, and three in Westmoreland – Savannah-la-Mar, Negril, and Paradise Pen. It also supplies fuel to DW People’s Choice, a dealer in Whithorn, Westmoreland, and a filling station in St Elizabeth.
Regency recently won the bid to operate a service station at the Norman Manley International Airport.
Additionally, the Spanish Town Road location continues to “perform above budget”, though it was closed for two days during the storm. Paradise and Negril stations “maintained a steady rise in volumes sold”, while Paradise Pen required additional tools from Kingston before resuming operations.
The company is advancing work on its new full-service station at the Norman Manley International Airport, with equipment expected to arrive by December. Construction at the new truck stop in St Elizabeth continues, with remediation work under way.
Regency’s LPG business continued to grow by double digits, with more cylinders in use and stable prices supporting margins.
Prior to Hurricane Melissa’s passage, Regency posted a 21 per cent rise in third-quarter sales to $478 million. Gross profit climbed due to improved margins from 16.9 per cent to 20.5 per cent, driven by higher volumes and stable LPG prices. Profit totalled $31.6 million, compared to $21.6 million a year earlier. Earnings per share rose from $0.015 to $0.022.
Williams acknowledged shareholders’ concern about its geographic concentration in Westmoreland. “It’s valid,” he said, “but this market is our genesis and will rebound stronger,” he said.
Looking ahead, Regency plans to diversify eastwards. Work continues on a new truck stop in St Elizabeth and preparations for a full-service station at Norman Manley International Airport. Equipment for the NMIA site has already been pre-ordered for December delivery, according to Williams.
The company is also exploring financing options to expand its LPG footprint in the household segment — a move that could offset risks tied to tourism volatility.
“Our team has shown resilience,” Williams said. “We aim to keep prices competitive while growing shareholder value.”
For now, the focus remains on restoring operations at Crawford and Paradise, even as Regency positions itself for long-term growth beyond Jamaica’s western belt.
