Sherritt International Halts Alberta Refinery Operations Amid Supply Disruptions from Cuba

Sherritt International Corp. has ceased operations at its refinery in Fort Saskatchewan, Alberta, following a depletion of feed inventory supplied by its Moa mine joint venture in Cuba. The company announced that the shutdown would persist until mining and processing activities at Moa resume and a consistent pipeline of refinery feed can be re-established.

The halt in refinery activities is directly linked to a pause in operations at the Moa mine, which began earlier in 2026. The suspension at Moa was attributed to fuel shortages in Cuba. These shortages emerged after the United States implemented measures in January 2026 that cut off Cuba’s access to Venezuelan oil, a key input for the country’s industrial sector.

Sherritt’s Fort Saskatchewan facility is designed to process mixed sulphides shipped from the Moa mine in Cuba. The interruption in supply from Moa has therefore led to an inability to continue refinery operations in Canada. The company did not provide an estimate for when mining and processing activities might resume at Moa or when feedstock supply might be restored.

In parallel with operational disruptions, Sherritt has been engaged in discussions with its lenders regarding its debt obligations. The company stated that, under current conditions, it would be unable to repay all or a significant portion of its debt if repayment were demanded prior to the scheduled maturity. Sherritt characterized its ability to refinance or extend its debt under these circumstances as uncertain.

Amid these financial challenges, Sherritt has entered into a non-binding agreement with Gillon Capital LLC. Gillon is described as the family office of a former adviser to the administration of U.S. President Donald Trump. The preliminary private placement arrangement would provide Gillon with a warrant to acquire enough shares to secure a 55 per cent ownership stake in Sherritt. This transaction, if finalized, could shift majority control of the Canadian mining and refining company to Gillon Capital.

Sherritt’s operational and financial difficulties are situated within broader geopolitical and economic contexts. The interruption of Venezuelan oil exports to Cuba reflects ongoing U.S. sanctions and broader regional tensions affecting energy supply chains. Such disruptions have cascading effects on industrial operations dependent on fuel and feedstock imports, including Canadian companies with overseas joint ventures.

The company’s announcement of the refinery shutdown and ongoing lender discussions underscore the financial pressures faced by resource firms operating in regions subject to geopolitical risks and supply chain vulnerabilities. Sherritt’s reliance on its Cuban operations as a primary source of refinery feedstock has increased its exposure to external shocks.

The prospective deal with Gillon Capital signals a possible realignment of the company’s ownership and governance. The details of the non-binding agreement, including the conditions for finalization and the implications for Sherritt’s future strategy, have not been disclosed. The company’s board and management have not commented publicly on the potential change in control beyond confirming the existence of the preliminary arrangement.

As of June 26, 2026, Sherritt has not announced a timeline for resuming operations at either the Moa mine or the Fort Saskatchewan refinery. The company’s ability to restore its supply chain, meet its financial obligations, and implement any ownership changes remains contingent on a range of external factors, including the resolution of fuel shortages in Cuba and the outcome of negotiations with both creditors and prospective investors.

The situation illustrates the interconnectedness of global supply chains, the impact of geopolitical developments on resource companies, and the strategic considerations associated with financial restructuring and potential ownership transitions. Sherritt’s next steps are expected to be closely monitored by investors, lenders, and industry observers.