Intermediary chemical producer INEOS Enterprises has added Eramet Titanium & Iron (ETI) to its growing portfolio of assets through a $245 million acquisition.
The company, which is the operator of the largest European compounds site, says the deal was completed yesterday (21 September 2023) following satisfaction of regulatory approvals.
INEOS reports the deal includes a long-term supply contract for ilmenite produced by Grande Côte Opérations (GCO), a subsidiary which operates the mineral sands mine in Senegal.
INEOS notes ETI consists of an ilmenite transformation plant in Norway which produces titanium slag which is used in the pigments industry, as well as high purity pig iron sold to European foundries.
This business will be known as INEOS Tyssedal.
The company also notes these are ‘good’ quality and well located assets that are complemented by an experienced operations team with high safety, health and environmental standards.
Commenting on the acquisition, INEOS Enterprises Chief Executive Officer (CEO) Ashley Reed says: “This is a good quality asset, complemented by an experienced operations team.
“We believe the next phase of ETI’s development can be well progressed under INEOS ownership and further improve the long-term sustainability of the company“
We believe the next phase of ETI’s development can be well progressed under INEOS ownership and further improve the long-term sustainability of the company.”
This acquisition of ETI also complements other recent activities being undertaken by the company, including its decision to acquire TotalEnergies’ petrochemical assets at Lavera in Southern France, as announced in July this year.
INEOS reported it was set to acquire the Naphtachimie, Gexaro and Appryl petrochemical businesses, which were held in a 50:50 joint venture (JV) at time of the announcement.
Naphtachimie in particular operates one of Europe’s largest steam crackers with an annual capacity of 720,000 tonnes of ethylene.
Other recent activities that have been completed by INEOS include the completion of a ‘major’ petrochemicals deal in China with SINOPEC, and the signing of an additional deal with SINOPEC to establish a JV to produce acrylonitrile butadiene styrene (ABS) in China.
Both of these achievements were announced in August and September this year respectively.
INEOS Enterprise is a subsidiary of INEOS, a global petrochemicals manufacturer, and holds a diverse portfolio of chemical products that are used as an essential input into chemical value chains across a broad variety of end markets and sectors.
Eramet transforms the mineral resources to provide sustainable and responsible solutions to the growth of the industry and to the challenges of the energy transition.
Write to Adam Drought at Mining.com.au
Images: INEOS Enterprises Group
