BP continues clean energy shift
Published by Callum O'Reilly,
Senior Editor
Hydrocarbon Engineering,
Following the recent announcement that BP will sell its petrochemicals business to INEOS, Will Scargill, Managing Oil & Gas Analyst at GlobalData, offers his view on the transaction rationale:
“While many oil and gas companies have recently looked to petrochemicals integration as a way to drive value, BP’s petrochemicals unit was not particularly well suited to its new energy transition strategy. Its aromatics focus tied it to oil, putting it at odds with the shift to cleaner sectors such as gas and renewables and making it a natural area for divestment as the company looks to streamline.
“Furthermore, meeting its US$15 billion divestment target ahead of schedule will be a welcome financial boost given the market turmoil caused by the COVID-19 pandemic.
“Meanwhile, for INEOS, this transaction will be a major step forward in its growth plans. At a stroke, the company will become a major player in aromatics, while at the same time building on geographical and operational synergies.”
Read the article online at: https://www.hydrocarbonengineering.com/petrochemicals/30062020/bp-continues-clean-energy-shift/
You might also like
The Hydrocarbon Engineering Podcast - Education and training for every phase of the insulating system design process
In this episode of the Hydrocarbon Engineering Podcast, Brandon Stambaugh, Owens Corning Director for Technical Services, joins us to discuss engineers’ demand for education and training to support the critical phases that affect the performance and longevity of insulating systems.
Tune in to the Hydrocarbon Engineering Podcast on your favourite podcast app today.
