BP deal to bolster INEOS chemicals operation
19 Dec 2012
Saltend, UK – INEOS Enterprises had completed what it described as an important agreement with BP for the supply of raw material to the INEOS vinyl acetate monomer (VAM) plant located at their joint operations at Saltend, Hull.
The deal secures the supply of acetic acid and services and participates in maintaining the global competitiveness of the VAM plant, said INEOS, which employs around 50 people across its activities at the site.
With a capacity of 300 ktpa and full integration into its raw materials, the plant at the Saltend Chemicals Park is one of the largest VAM production units in the world.
INEOS acquired the plant from BP in 2008 and has since invested in the technology to further develop the capacity and performance.
The VAM plant uses ethylene which it gets by pipeline from its steam crackers located in Grangemouth, Scotland, and acetic acid from BP owned plants located on the site. VAM is supplied mainly into UK manufacturing firms and the European merchant market.
“This agreement is mutually beneficial to both companies and maintains our competitive advantage in Europe and around the world,” said Ashley Reed CEO INEOS Enterprises.
The deal, said INEOS, also reinforces the position of the Hull site as a platform for chemicals manufacturing in Europe.
The Chemicals Park at Saltend has undergone a major transformation over the past decade, with over £500 million of investment from companies located there.
