PetroChina takes European refining foothold

PETROCHINA is set to achieve its ambition of gaining a presence in European refining

After 18 months of negotiations, the Chinese state-controlled company reached a framework agreement with Ineos, the privately held chemicals and refining group, under which PetroChina will take interests in Ineos's Grangemouth, UK, and Lavéra, France, refineries. The agreement, due to be finalised by the end of June, will see the two refineries transferred to a joint-venture – likely to be 50:50 – between the two companies. The agreement also calls for co-operation in refining and petrochemicals technology between PetroChina's parent company, China National Petroleum Corporation, and Ineos. Ineos had been seeking to sell all or part of its refining interests to reduce its debt, which has inc