BP sells North Sea pipeline to Ineos
BP has sold the Forties pipeline system to Ineos. Located in the North Sea, the pipeline transports around 450,000 barrels of oil per day, around 40% of the UK’s production.
Ineos, an energy company owned by British billionaire Jim Ratcliffe, has agreed to pay $250 million (£199 million) for the 235 mile long pipeline.
In operation since 1975, the Forties pipeline is one of the oldest in the North Sea. It links 85 oil and gas fields to the UK mainland, and to the Ineos refinery in Grangemouth.
Over the last few years Ineos has been growing its stakes in the North Sea oil fields, while BP has been retreating. BP sold its Forties oilfield interests to Apache in 2003, and the Grangemouth refinery and chemical plants to Ineos in 2005.
Ratcliffe told the BBC: "The North Sea continues to present new opportunities for Ineos.
"The Forties Pipeline System is a UK strategic asset and was originally designed to work together to feed the Grangemouth refinery and petrochemical facilities.
"We have a strong track record of acquiring non-core assets and improving their efficiency and reliability, securing long-term employment and investment."
Forties Pipeline System employs about 300 staff at Kinneil, Falkirk, Dalmeny, Aberdeen and offshore locations.