INEOS acquires North Sea pipeline system
INEOS has completed its acquisition from BP of the Forties Pipeline System and Kinneil Terminal in the North Sea.
The Forties Pipeline System comprises a 169 km, 36 inch (914 mm) pipeline from the unmanned offshore Forties Unity platform to the onshore terminal at Cruden Bay.
From there, a 36 inch onshore pipeline transports the oil 209 km south to the Kinneil facility, adjacent to the Grangemouth refinery and chemical plant, where it is processed and stabilised before output is sent either for export via the Dalmeny terminal and Hound Point loading jetty, or on to Grangemouth.
In a statement, INEOS said the acquisition of the Forties Pipeline was a “natural fit”.
The company said that taking responsibility for a strategic UK asset further strengthened its long term oil and gas activity.
The deal consolidates INEOS’ position as a top ten company in the North Sea and the largest privately-owned exploration and production business operating in the energy basin.
“This represents another very significant deal for INEOS,” INEOS FPS CEO Andrew Gardner said.
“The acquisition reunites North Sea and Grangemouth assets under INEOS ownership.
“INEOS is now the only UK company with refinery and petrochemical assets directly integrated into the North Sea and this deal provides the platform to potential future offshore INEOS investments.”
As part of the agreement, 300 people have transferred to INEOS FPS Ltd, the newly formed business that will be part of INEOS Ltd.
For more information visit the INEOS website.
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