French energy company TotalEnergies and British chemicals company INEOS have agreed to rearrange their stakes in jointly owned petrochemical assets and logistics infrastructure.
The realignment aims to balance the two companies’ respective production and internal use of ethylene in eastern France.
Under the terms of the agreement, TotalEnergies will integrate its petrochemical sites at Feyzin and Carling, while INEOS will strengthen its operations at the Lavéra site on the Mediterranean coast.
INEOS will acquire TotalEnergies’ 50% stake in Naphtachimie, Appryl, Gexaro, and 3TC, which are all currently joint ventures between the two companies.
Naphtachimie is a 720ktpa steam cracker, Appryl is a 300ktpa polypropylene business, Gexaro is a 270ktpa aromatics business and 3TC is a naphtha storage facility.
TotalEnergies Europe refining base chemicals senior vice president Jean-Marc Durand said: “This operation allows us to strengthen the links between our Feyzin and Carling petrochemical sites, with Feyzin becoming Carling’s integrated ethylene supplier, in line with our strategy to focus on our integrated platforms.”
INEOS South Olefins and Polymers CEO Xavi Cros said: “The acquisition will allow us to fully integrate these assets and enhance the competitiveness of our offer. At the same time, our goal is to continue to invest in them, including CO2 reduction to meet our Net Zero 2050 commitment.”
Both companies operate ethylene-based manufacturing facilities in eastern France, connected by pipelines and storage facilities.
INEOS will also acquire other infrastructure assets, including the southern sections of TotalEnergies’ ethylene pipeline network, between Lavéra and Lyon regions in France.
The central and northern sections of the network, from the Lyon region to the Lorraine region, will be held equally by both companies.
Furthermore, TotalEnergies is consolidating the role of its Feyzin petrochemical platform as the integrated supplier of ethylene to the Carling platform.
The rearrangement is expected to be implemented by the end of this year, subject to the prior consultation of employee representatives and approval from the relevant authorities.
