Ineos have struck a £4bn deal to buy BP’s petrochemicals arm and will pay six instalments until June 2021 which makes a key component in polyester.
FTSE 100 listed oil giant’s new boss Bernard Looney has promised to tackle emissions and have also met their promise to sell off $15bn of assets a year earlier than promised.
Looney said on Monday, “This is another significant step as we steadily work to reinvent BP.”
He added, “Strategically, the overlap with the rest of BP is limited and it would take considerable capital for us to grow these businesses.
“As we work to build a more focused, more integrated BP, we have other opportunities that are more aligned with our future direction.
“Today’s agreement is another deliberate step in building a BP that can compete and succeed through the energy transition.”
Ineos founder Sir Jim Ratcliffe said, “We are delighted to acquire these top-class businesses from BP, extending the Ineos position in global petrochemicals and providing great scope for expansion and integration with our existing business.
“This acquisition is a logical development of our existing petrochemicals business extending our interest in acetyls and adding a world leading aromatics business supporting the global polyester industry.”