Energy giant Ineos to invest £2.3bn in two new European chemical plants

Energy giant Ineos is to build two new chemical plants in northern Europe under a £2.3 billion project, its biggest ever investment.

The firm said one of the plants will be the first new so-called "cracker" to be built in Europe for two decades.

It will also be one of the most efficient and environmentally friendly plants of its type in the world, said Ineos.

Chairman Jim Ratcliffe said: "This is the largest investment to be made in the European chemical sector for a generation.

"It will be a game-changer for the industry and shows our commitment to manufacturing.

"This new investment builds on the huge investment we made in bringing US shale gas to Europe and will ensure the long-term future of our European chemical plants."

The location of the site will be determined soon and it is likely to be on the coast of north-west Europe.

A project team has been assigned to consider options and the project is expected to be completed within four years.

Ineos official Gerd Franken said: "This new project will increase Ineos self-sufficiency in all key olefin products and give further support to our derivatives business and polymer plants in Europe.

"All our assets will benefit from our ability to import competitive raw materials from the USA and the rest of the world."