BP. Bp Plc

BP Plc entered an agreement with FedEx Corp. that makes the BP and Amoco station network one of three national preferred fuel partners for FedEx Freight and FedEx Express, the company told branded wholesalers and retailers in an email Monday.

FedEx is developing a digital experience through its GPS system to route drivers to preferred fuel sites, BP said.

"We are only receiving 4% of this volume today, so we expect this partnership to drive millions of incremental gallons to your BP and Amoco sites," the company said.

Beginning Wednesday, FedEx drivers will receive 8 cents a gallon off on all BP and Amoco gasoline and diesel purchases and will continue to pay with their WEX card. The fuel rebates will appear as a credit on monthly statements.

BP and Amoco distributors will fund 5 cents of the rebate, and BP will handle the remaining 3 cents. BP said it will reconcile the amount one month in arrears and settle with the branded fuel distributor for the previous month's volume.

BP said that fleet customers generally buy more fuel per transaction more frequently than the average consumer. The average fleet customer purchases 19 gallons per transaction and makes 33 transactions per month, BP said, quoting 2022 Fleetcor Technologies Inc. data. Fleet drivers also spend an average $80 on fuel and $20 on non-fuel items per transaction.

FedEx Freight has a fleet of more than 25,000 vehicles and makes average daily shipments of more than 110,000, the FedEx website says.

This content was created by Oil Price Information Service, which is operated by Dow Jones & Co. OPIS is run independently from Dow Jones Newswires and The Wall Street Journal.

Reporting by Donna Harris, dharris@opisnet.com; Editing by Michael Kelly, mkelly@opisnet.com

(END) Dow Jones Newswires

June 05, 2023 14:52 ET (18:52 GMT)

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