Tag Archives: BP

Formula One: Porsche Red Bull Racing? 2+2 = 5

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The eagle-eyed F1 Fan will have noticed a few interesting faces in and around the F1 paddock over the weekend of the Austrian Grand Prix. After attending a recent meeting to discuss the future of F1 Power Units a number of Porsche ambassadors made their presence known through the event. As a pundit for Channel 4’s F1 coverage, seeing Mark Webber in the paddock is not an unusual sight. Less usual though was his choice of attire, as pictured below Mark spent much of the weekend wearing Porsche team wear. Similarly, Mark’s former teammate and former Red Bull Junior driver Brendon Hartley attended the Grand Prix and he too wore Porsche team wear combined with a Red Bull cap for much of the weekend.

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Of course a logical explanation for this is that both drivers were taking part in demonstration runs through the race weekend, but a far more exciting ‘hollywood’ story is that fresh from having achieved their objectives in the World Endurance Championship securing 3 back to back victories at Le Mans, Porsche are seeking a new challenge. Given Webber’s recent history with Red Bull Racing, he, perhaps under the guise of his ambassador role with Porsche is in someway involved in discussions to bring the two parties together with a role for Brendon Hartley as a driver within the package.

I have stated previously that the relationship between ExxonMobil, BP, and Renault for me is not logical. Fuel and Lubricant solutions must be developed in conjunction with power unit development. It is not possible to define a one size fits all development roadmap for the Renault Power Unit. At some point in the near future, if not, at some point in the past. BP or ExxonMobil will identify a performance opportunity with the Renault power unit which does not favour the other supplier. At this point power unit development will split. Renault will produce one power unit format for the works team and a different solution for Red Bull Racing and Scuderia Toro Rosso. Who will fund this alternative solution, and at what point is a Renault Power Unit no longer a Renault Power Unit?

Could Porsche be considering redirecting budget from the World Endurance Championship, a figure believed to be in the region of $100M towards a power unit development plan in Formula One? Paying Renault to use their technology as a basis for involvement would minimise the risk of ‘doing a Honda’ ensuring reasonable performance from the word go.

One thing is for sure, Porsche are seeking a new challenge, drivers, unlike fans, don’t attend race meetings in team wear when they are not competing for the fun of it. Perhaps in this case 2+2 might just equal 5.

Thanks to Sean Bull for pulling together incredible concept artwork for a Red Bull Racing Porsche mash up.

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Formula One: Formula Fuel – Paddock Magazine

Jon Wilde examines the various aspects behind the changes of fuel and lubricant suppliers in the sport of Formula 1. Enjoy!

Source: Formula Fuel – Paddock Magazine

Formula One: Castrol Mclaren Honda partnership confirmed

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In a PR engagement broadcast on social media yesterday Mclaren Honda’s Stoffel Vandoorne inadvertently revealed the team’s 2017 teamwear, on which Castrol branding is evident the left sleeve.

At this time Mclaren have not commented on the 2017 plans around fuel and lubricant supply. It is widely understood BP have entered into partnership with the team. Based on the image of Stoffel BP have chosen to promote the Castrol brand through the Mclaren partnership.

Thank you to Laura Leslie for posting this image online. Her original post can be seen here:

 

Formula One: Debunking the BP rumour

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Over the past week various news outlets have reported BP are set to enter Formula One with a $30 Million sponsorship deal heading the way of either Renault or Mclaren. Whilst there is no formal comment from any party to confirm or deny the story, a little bit of a sanity check might be helpful.

The optimisation of current the iteration of Formula One power unit technology is more dependant on fuel and lubricant specificities now more than any time in the history of the sport. Power units and their respective fuel and lubricants are developed in conjunction with each other. Whilst the fuel used in Formula One is made up of 99% the same compounds you would expect to see in the forecourt, the remaining 1% has a huge impact on vehicle performance and is unique to each and every supplier.

At this time there are 4 power unit manufacturers and 4 fuel and lubricant suppliers in Formula One. These are:

Shell with Ferrari

ExxonMobil (Mobil 1 / Esso) with Honda

Petronas with Mercedes

Total with Renault.

All teams using customer power units will use the fuel and lubricant supply defined as above. Any additional fuel and lubricant sponsorship with customer teams are sponsorship partners only. They do not supply the team.

Unlike agreements such as that with BR Petrobras and Williams, given the comparable size and market share BP have to Petronas, Shell, & ExxonMobil it is highly unlikely either party would be prepared to have a customer team run with BP branding and a competitor’s fuel and lubricant supply.

The development of fuel and lubricant solutions is a continual process, at any given time Shell, for example, could have up to 65 compounds in development. Fuel and lubricant partnership is integral to a team. In 2015 Scuderia Ferrari attributed 25% of their performance gains through the season to Shell. Fuel and lubricant suppliers bring trackside laboratories to every F1 race. They analyse the performance of their product after every session. Relationships are so well developed that a fuel and lubricant supplier can and do advise a race team on how to approach race strategy.

Fuel and lubricant suppliers do not enter Formula One for simple brand exposure. They use the sport as a platform to innovate. Innovation reaching the circuit can take as long as five years to hit the forecourt. Formula One engagement is not a short term quick win project.

In short, if BP were to be entering Formula One the undertaking and commitment would require a significant change in business strategy. It would be much more complex than writing a cheque for $30 Million. If a new partnership is not already known it would not be realistic to expect anything for at least 2 years. With all this in mind it seems highly unlikely BP would find an existing power unit manufacturer prepared to leave an existing partner for the foreseeable future.

What could be possible is an acquisition. This could take a number of forms. An existing fuel and lubricant supplier could be looking to exit Formula One. They may look to sell their assets and technology in the sport to BP. With consumers looking increasingly to renewable energy sources the return on investment of motorsport engagement may no longer be what it once was so this is possible.

Another option could be BP acquiring, or being acquired. Both Shell and ExxonMobil have been reported to be considering growth through acquisition strategies. If this was the case, they may look to showcase the BP brand through their premier  marketing platform. Equally if BP chose to merge or acquire Shell, Petronas, ExxonMobil, or Total, they may seek to promote the BP brand in F1. At this time it is not possible to entirely dismiss rumours of BP entering Formula One, but one thing is for certain, if a deal does transpire it will be a lot more complex than writing a cheque and putting a few stickers on a car.