INEOS completes purchase of North Sea oil pipeline

The shale gas carrier INEOS Insight makes its way to dock at Grangemouth
The shale gas carrier INEOS Insight makes its way to dock at Grangemouth
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Petrochemical giant INEOS has completed its purchase of the Forties Pipeline System (FPS) in the North Sea.

The 235-mile series of pipelines connects the 85 North Sea oil and gas assets to the refinery in Grangemouth.

The completion of the deal has strengthened the company’s standing as the largest privately owned exploration and production business operating in the energy basin.

READ MORE: INEOS on Scottish fracking ban: ‘England will reap benefits’

INEOS will now be responsible for delivering almost 40 per cent of the UK’s North Sea oil and gas output under the deal.

Ownership of the Kinneil gas processing plant and oil terminal, the Dalmeny storage and export facility, and sites at Aberdeen have all transferred over. About 300 people are employed across the sites.

READ MORE: Grangemouth owner Ineos to expand European facilities

INEOS FPS chief executive Andrew Gardner described the purchase as a “very significant deal” for the group.