Ineos Mothballs 3 Hull Plants, Putting 4,000 Jobs at Risk as UK Gas Costs Soar
Updated
Updated · bbc.co.uk · Sep 22
Ineos Mothballs 3 Hull Plants, Putting 4,000 Jobs at Risk as UK Gas Costs Soar
2 articles · Updated · bbc.co.uk · Sep 22
Summary
Up to 4,000 jobs are affected after Ineos paused production at all three Hull chemical sites, with two plants already shut and the third due to stop within days.
UK gas prices drove the move: Ineos said they are 12 times US levels and eight times the cost of Chinese coal-based rivals, leaving the plants unable to compete.
The company will keep workers on while it seeks cheaper US LNG supplies — a process that could take up to a year — or waits for gas prices to fall.
The Hull plants make acetic acid, acetic anhydride and ethyl acetate, inputs for products ranging from aspirin and detergents to construction materials and military explosives.
Sir Jim Ratcliffe also urged UK and EU tariff protection against Chinese imports, as wholesale gas prices in Britain and Europe have nearly doubled since July.