Cash-strapped Ineos (Lyndhurst / UK; www.ineos.com) is said to be in talks with Middle East and Chinese companies about a sale of some of its upstream petrochemical assets. While declining to reveal names, CEO Tom Crotty told UK media that the group, which is believed to be carrying a debt burden of GBP 6.4 bn (EUR 7.1 bn), has entered “preliminary” discussions with “several parties” that may lead to an equity deal. However, “there is no pressing need to do any deals, given our current performance,” he told a London newspaper.

At the same time, Crotty acknowledged talks with PetroChina about taking a stake in the Grangemouth refinery in Scotland – see Plasteurope.com of 24.06.2009. Reports from Beijing say that PetroChina chairman Jiang Jiemin confirmed the discussions prior to a meeting of the Chinese National People’s Congress last week, adding that the Hong Kong stock market-listed group is preparing a bid for what would be its first European refining operation.

Middle East petrochemical producers, including the “usual suspects” Sabic (Riyadh / Saudi Arabia; www.sabic.com) and Kuwait’s Petrochemical Industries Company (PIC, Sabahiya; www.pic.com.kw), which last year scuttled plans for a wide-sweeping joint venture with Dow (Midland, Michigan / USA; www.dow.com) – see Plasteurope.com of 05.01.2009 – also have been mooted as possible partners in an equity deal. Private equity investors, too, are seen as “circling the prey.” While struggling to improve its finances, Ineos has warned the UK government it may move headquarters to Switzerland to save tax – see Plasteurope.com of 15.03.2010.