INEOS Grangemouth petchems plant to close

23 October 2013 10:50  [Source: ICIS news]

LONDON (ICIS)--Switzerland-headquartered producer INEOS said on Wednesday that the petrochemicals complex at its Grangemouth, UK, site will remain shut after being taken offline last week as a result of an industrial dispute.

Petrochemical operations at the Grangemouth site have been closed since last week when negotiations over the treatment of a union representative broke down and workers at the plant voted to strike.

Owners INEOS claim the site loses millions of pounds per month so it needs to impose new salary and pension conditions, as well as obtain government support for an ethane import terminal, to remain competitive.

The oil refinery at the site, which is co-owned by INEOS and PetroChina was shut down at the same time.

The company said in a statement that it will discuss with its Chinese partner whether to restart the refinery, but no decision on a closure for that part of the facility has been made yet.

A move to restart the refinery would be primarily based on the removal of any threat of industrial action by union Unite or Grangemouth employees, INEOS added.

By: Tom Brown
+44 208 652 3214

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