The European Commission has approved the acquisition of Spanish refinery and petrochemicals company Compania Espanola de Petrolios (Cepsa, Madrid; www.cepsa.com) by International Petroleum Investment Co (IPIC, Abu Dhabi / UAE; www.ipic.ae). IPIC already holds a 47.06% stake in Cepsa, and is purchasing a further 48.83% stake from Total (Paris La Defense / France; www.total.com) – see Plasteurope.com of 02.03.2011.

The deal will lead to overlaps in the markets for phenol and acetone, the EC said, but the companies’ combined market shares are moderate and a number of credible competitors will remain active in these markets. Phenol and acetone are both used in the manufacture of bisphenol A (BPA), which in turn is used to produce PC. Phenol is also used to make phenolic resins and caprolactam, while other uses for acetone include MMA production.

Cepsa’s chemical business includes an 800,000 t/y cumene line in Huelva / Spain, plus downstream products phenol (600,000 t/y) and acetone (370,000 t/y). The company also produces PTA in both Spain and Canada, and earlier this year it purchased La Seda de Barcelona’s (Barcelona / Spain; www.laseda.es) PET plant in San Roque / Spain – see Plasteurope.com of 07.01.2011.

IPIC was formed by the Abu Dhabi government in 1984, and its portfolio includes Canada’s Nova Chemicals (Calgary, Alberta; www.novachem.com) plus stakes in Austrian companies OMV (Vienna; www.omv.com) and Borealis (Vienna; www.borealisgroup.com).