The Ineos Group is to acquire the Borealis AS petrochemical business in Norway for 290 million Euros.
The deal includes 50% of the Noretyl ethylene cracker at Rafnes and associated downstream, integrated businesses at the nearby Bamble polyolefins site.
The acquisition of Borealis AS follows the recent announcement made by Ineos Capital to buy Norsk Hydro ASA’s polymers business.
The Noretyl ethylene cracker was commissioned in 1977 and expanded by 100,000 t/a in 2005, and currently has a capacity of 557,000 t/a in addition to a propylene capacity of 80,000 t/a. It supplies the nearby Bamble site, which produces Polypropylene (PP), Low Density Polyethylene (LDPE) and High Density Polyethylene (HDPE) plants.
The acquisition is conditional on receipt of bank consent and approval from the EU competition authorities.
The transaction is expected to close in the third quarter 2007.