Ineos biodiesel plant on the back burner
Ineos Enterprises has postponed plans to build a £65 million (€77.6 million) biodiesel plant in Scotland, UK, due to unfavourable economic conditions.
The plant, to be located in Grangemouth near Falkirk, had a nameplate capacity of 500,000 tonnes.
Market volatility has led the company to return a £9 million grant which had been allocated by the Scottish government for the project.
The project was announced in 2006, with operations due to begin later this year.
‘Given the continued and prolonged global economic downturn Ineos is focusing on tight control of costs and expenditure across its entire portfolio,’ the company states. ‘As a consequence, ongoing plans to invest in new additional biodiesel capacity across Europe are on hold until Ineos has a clearer picture of the economic outlook.’
‘Across Europe, the manufacturing industry, including chemicals and biofuels, is experiencing a period of unprecedented volatility and uncertainty and accurate forecasting is expected to remain extremely difficult in the short-term,’ Ineos adds.
While Ineos has abandoned ideas to construct new plants, the company is proceeding with plans to double its existing biodiesel plant capacity in Baleycourt, France.
Ineos operates an oil refinery at Grangemouth.
The plant, to be located in Grangemouth near Falkirk, had a nameplate capacity of 500,000 tonnes.
Market volatility has led the company to return a £9 million grant which had been allocated by the Scottish government for the project.
The project was announced in 2006, with operations due to begin later this year.
‘Given the continued and prolonged global economic downturn Ineos is focusing on tight control of costs and expenditure across its entire portfolio,’ the company states. ‘As a consequence, ongoing plans to invest in new additional biodiesel capacity across Europe are on hold until Ineos has a clearer picture of the economic outlook.’
‘Across Europe, the manufacturing industry, including chemicals and biofuels, is experiencing a period of unprecedented volatility and uncertainty and accurate forecasting is expected to remain extremely difficult in the short-term,’ Ineos adds.
While Ineos has abandoned ideas to construct new plants, the company is proceeding with plans to double its existing biodiesel plant capacity in Baleycourt, France.
Ineos operates an oil refinery at Grangemouth.
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