NOVA Chemicals Corporation has signed a letter of intent with INEOS to expand the existing European joint venture to include North American assets. The newly expanded 50:50 joint venture will include NOVA Chemicals' STYRENIX unit and other styrenic polymer assets, including NOVA Chemicals' North American styrene and solid polystyrene assets, and NOVA’s interest in the existing European joint venture with INEOS, called NOVA Innovene. INEOS will contribute its North American styrene and polystyrene assets, as well as its interest in the existing NOVA Innovene European joint venture. The expanded joint venture will also include solid polystyrene-based NAS®, ZYLAR® and DYLARK® polymers from NOVA Chemicals and the AVANTRA® specialty products of INEOS.
The transaction to form the expanded joint venture is expected to close in Q3-2007, subject to approvals and completion of definitive agreements.