Future of Refinery Remains Undecided Ineos to Close Grangemouth Petrochemical Complex
IHS Chemical Week reports, that Ineos will close the Grangemouth petrochemical complex in the UK. The development follows the breakdown of talks at the Advisory, Arbitration, and Conciliation Service (ACAS) last week and the Unite trade union’s refusal to provide a no-strike guarantee before the company restarts the complex, which has been offstream since last week. The PetrolIneos joint venture will now decide on the future of the adjacent refinery.
Grangemouth/Scotland – Unite members are disappointed by the decision to close the petrochemical side of the giant Grangemouth site following a bitter dispute over pay and worker's conditions with owner Ineos.
Ineos said workers were divided 50/50 on a survival plan for the site, which included accepting a pay freeze, changes to pensions and other terms and conditions. PetrolIneos, a joint venture between Ineos and Petro China that operates the 220,000-bbl/day refinery on the site, will now decide whether to restart the refinery. The Independant reports, that their will be a decision once the "threat of strike action" has been removed.
The Grangemouth petrochemicals complex is based on a gas cracker with capacity for 800,000 m.t./year of ethylene. Ineos said previously that it wants to make investments at the site of some 300 million Euro to build ethane-importing facilities and make some adjustments to the plants. Longer term, it said it was planning to expand the larger of the two crackers significantly.