INEOS Group has today successfully completed the sale of its fluorochemicals business to Mexichem Fluor S.A. de C.V., a subsidiary of Mexichem S.A.B. de C.V. a leading Latin American producer of PVC pipes and resin, chloralkali, hydrofluoric acid and fluorspar.
The sale, which has been approved by the regulatory authorities, comprises the international business and assets related to INEOS’ fluorochemical operations located in North America, Europe, and Asia.
Activities relating to the Clean Development Mechanism (CDM) and fluorspar will remain with INEOS and will become a part of INEOS Enterprises business.
This transaction is part of the company’s ongoing programme to focus on its large-scale petrochemicals businesses as it continues strengthen its liquidity and business performance.
For further information contact:
Richard Longden – INEOS - Tel: +44 (0) 7710 371998
www.ineos.com
Note to editors:
The announcement of the initial intent to sell the company to Mexichem was made on February 2nd. See Press release: Here
INEOS (www.ineos.com) is the world's third largest chemicals company; a leading manufacturer of petrochemicals, specialty chemicals and oil products. Comprising 17 businesses, with a production network spanning 65 manufacturing facilities in 14 countries, the company produces more than 30 million tonnes of petrochemicals, 20 million tons per annum of crude oil refined products (fuels). INEOS employs 15,500 people and has sales of around $47bn.
The Fluorochemicals business:
INEOS Fluor is a global manufacturer of fluorinated chemicals and fluorinated feedstocks. It has a turnover of approximately €300 million and employs 350 people in operations in Europe, USA, Japan and China.
INEOS Fluor manufactures and supplies fluorine-based products, technologies and services that are used extensively by the world’s major industries. Its products touch many aspects of everyday life in many unseen ways bringing numerous benefits to society.
- Its refrigerants keep food fresh and safe, protect blood supplies and biomedical stores, air condition offices, homes, cars and operating theatres
- Its medical propellants help millions of patients with asthma, bronchitis and other lung diseases breathe more easily
The business will now be integrated into Mexichem S.A.B. de C.V.
Mexichem (www.mexichem.com) was established in 1958. It is currently a leading Latin American chemical producer with interests in 29 countries employing around 10,000 employees worldwide. The company, which is traded on the Mexican Stock Exchange, has an estimated turnover of $2.3bn, as published in its 4th Quarter 2009 guidance note.
In 2004, Mexichem acquired Química Flúor and integrated its operation with that of Minera Las Cuevas, the largest worldwide producer of fluorite, making it the largest vertically integrated producer of hydrofluoric acid in the world. Mexichem is also the largest Latin American producer of PVC Pipes, vinyl resins and compounds.
CDM (Clean Development Mechanism)
INEOS will retain its partnership with three companies currently operating CDM projects, preventing the emission of additional Greenhouse gases in developing countries.
The Clean Development Mechanism allows emission-reduction (or emission removal) projects in developing countries to earn certified emission reduction (CER) credits, each equivalent to one tonne of CO2. These CERs can be traded and sold, and used by industrialized countries to a meet a part of their emission reduction targets under the Kyoto Protocol. The mechanism stimulates sustainable development and emission reductions, while giving industrialized countries some flexibility in how they meet their emission reduction limitation targets. The projects must qualify through a rigorous and public registration and issuance process designed to ensure real, measurable and verifiable emission reductions that are additional to what would have occurred without the project. The mechanism is overseen by the CDM Executive Board of the UNFCCC (United Nations Framework Convention on Climate Change) and is answerable ultimately to the countries that have ratified the Kyoto Protocol.