PetroChina Company Limited (PetroChina) and INEOS Group (INEOS) have completed the deal to form trading and refining Joint Ventures between PetroChina International (London) Company Limited, and INEOS Investments (Jersey) Limited on July 1st.
The joint ventures include trading and refining activities at the Grangemouth refinery in Scotland and the Lavéra refinery in France. The business employs approximately 1,000 people and has a turnover of US$15 bln. PetroChina has paid US$ 1.015 billion cash for the shares in the joint ventures. The completion of the joint ventures are of great importance for PetroChina’s global allocation of resources and market portfolio, as it explores the high-end European market, and begins to establish PetroChina’s European oil and gas operation centre. “The Joint Ventures with INEOS are consistent with PetroChina’s strategy to build its broader business platform in Europe as a leading international energy company,” said Si Bingjun, General Manager of PetroChina International London.
The Grangemouth refinery is located on the Firth of Forth with direct access to crude oil and gas from the North Sea. The Grangemouth refinery processes around 210,000 barrels of crude oil per day and provides fuel to Scotland, Northern England and Northern Ireland. The Lavéra refinery processes 210,000 barrels of crude oil per day. It is located on the coast of the Mediterranean crude oil trading basin, next to the port of Marseille. The refinery supplies fuel by pipelines into France, Switzerland and Southern Germany. Both sites remain integrated into INEOS' downstream petrochemical production after the completion.