US-based Phillips 66 has announced its intention to sell its only oil refinery Whitegate in Ireland.

The company has taken the decision following an impact on profits due to lower fuel demand and higher feedstock prices.

The Whitegate refinery located in Cork, Ireland has a crude oil processing capacity of 71,000 barrel per day.

Phillips 66 spokesman Rich Johnson said the company will retain Deutsche Bank to market the company’s Ireland assets, including the oil refinery, its associated wholesale marketing business, and crude oil storage terminal and refined products in Bantry Bay.

"Phillips 66 intends to continue operating the assets as usual during the marketing process, which is expected to last for several months," Johnson added.

Majority of the company’s refining capacity is in US and the firm is focused on increasing its returns in the country by accessing the increased crude oil production, which is much less expensive.