Ineos Plans $1.3B+ Grangemouth Spend
Ineos Grangemouth has announced planned further investment of over $1.3 billion (GBP 1 billion) towards reducing greenhouse gas emissions at its site to net zero by 2045.
The investment builds on the 37 percent reduction in net CO2 emissions already delivered since acquiring the site in 2005, Ineos outlined, adding that it has already committed over $682 million (GBP 500 million) on projects which have been approved and are currently being implemented at Grangemouth. This includes investment in a new energy plant, which is due for completion in late 2023 and will drive down emissions by at least 150,000 tons of CO2 per year, Ineos highlighted.
Ineos’ plans involve a move to the production and use of hydrogen by all businesses at the Grangemouth site accompanied by carbon capture and storage of at least one million tons per annum of CO2 by 2030. This will include capturing CO2 from existing hydrogen production and the construction of a world scale carbon capture enabled hydrogen production plant, Ineos noted. Additional contributions to driving down emissions will come from further investments in energy reduction and optimization and the electrification of key equipment, Ineos revealed.
“We actually have to go much further than the significant CO2 reductions we’ve achieved already,” Andrew Gardner, the chairman of Ineos Grangemouth, said in a company statement. “By 2045 we have to be net zero equivalent and we have to set some really ambitious but achievable targets for ourselves for 2030,” he added.
Stuart Collings, the chief executive officer of Ineos O&P UK, said, “our challenge is to deliver a road map which ensures a just transition to net zero”.
“This can only be achieved if we remain globally competitive and we stay ahead of evolving regulations and legislation. Hydrogen will play a very important role in the decarbonization of our manufacturing plants,” he added.
“Building the infrastructure for large scale utilization of hydrogen creates a foundation to achieve net zero by 2045 and enables wider use of hydrogen by Ineos and others in and around Grangemouth,” Collings went on to say.
Scotland’s Net Zero Secretary, Michael Matheson, said: “I welcome this significant investment, which demonstrates Ineos’ support for Scotland’s journey to becoming a net zero economy by 2045”.
“This will not only drive forward innovation and diversification to tackle emissions at Grangemouth, but will also support the decarbonization of other sectors, sites and regions across Scotland,” he added.
Grangemouth is an integrated refinery and petrochemicals center of excellence, according to Ineos’ website, which highlights that the asset is the company’s largest manufacturing site by volume. Grangemouth is home to Scotland’s only crude oil refinery and produces the bulk of fuels used in the country, according to Ineos’ site.
Ineos first announced a $477.3 million (GBP 350 million) investment at Grangemouth for a new energy plant back in February 2019, as part of a cluster of investment in the UK totaling $1.3 billion (GBP 1 billion). The plant is replacing a 40 year old power station that Ineos previously said has served the site well. Back in 2018, Ineos announced plans to invest $81.8 million (GBP 60 million) to expand its Grangemouth site.
Ineos is a global petrochemicals manufacturer which operates 194 sites across 29 countries, generates $61 billion annually and employs more than 26,000 people.
To contact the author, email firstname.lastname@example.org
What do you think? We’d love to hear from you, join the conversation on the
Rigzone Energy Network.
The Rigzone Energy Network is a new social experience created for you and all energy professionals to Speak Up about our industry, share knowledge, connect with peers and industry insiders and engage in a professional community that will empower your career in energy.