BP to Sell Chemicals Unit to Ineos for $5 Billion

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(Bloomberg) — BP Plc took another big step in its transition away from being a traditional oil company with the $5 billion sale of its chemicals business to Ineos Group Holdings SA.

The announcement comes just months after new Chief Executive Officer Bernard Looney set the London-based energy giant on course to eliminate its carbon emissions by 2050, a radical step that has since been followed by its peers.

The deal is „the next strategic step in reinventing BP,“ according to a company statement on Monday. It will „further strengthen BP’s balance sheet and delivers its target for agreed divestments a year earlier than originally scheduled.“

Under the terms of the agreement, Ineos will pay BP a deposit of $400 million, and a further $3.6 billion on completion. An additional $1 billion will be deferred and paid in three separate installments of $100 million in March, April and May 2021 with the remaining $700 million payable by the end of June 2021.

The sale is subject to regulatory and other approvals, and is expected to complete by the end of 2020.

©2020 Bloomberg L.P.

Author: uwe.roland.gross

Don`t worry there is no significant man- made global warming. The global warming scare is not driven by science but driven by politics. Al Gore and the UN are dead wrong on climate fears. The IPCC process is a perversion of science.