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Chemical companies are reviewing their activities in the region to tackle high energy prices and competition from new plants in Asia and the Middle East to the sale of European resources.
According to people familiar with this topic, the Saudi Arabian Chemicals Group Sabik is working with bankers to explore alternatives to its European Petrochemicals business sales. Dow, Lyndelbassel, Shell and BPO have indicated that they are weighing alternatives for resources in the region.
The discussion came after the invasion of Ukraine in Russia in 2022, because the fuel costs were high in Europe and the industry was more than fuel consumption after the industry was created in other regions. It intensifies the pressure on the chemical sector, which represents about 5-7 percent of Europe’s production and appoints more than 1.2MN.
Sebastian Brey, chief of the Investment Bank Berenberg Chemicals Research, said: “There are plans to provide a lot of additional supply to geographicals like China and the Middle East.
Brey added, “What was the decision -making reason forced to consider the exit from their resources? It was the cost of higher energy.”
The European Chemical Industry Council warned in January that in the last two years, more than 1 million tonnes of capacity has been fixed in the region, affecting 20 large sites.
It also added that the sector’s competition with the price of four to five times more than the United States is “under pressure” and has called for EU policy makers to take urgent steps.
The Sabik, which was established by the Saudi government and is owned by most state oil groups Saudi Armko, is working on its process with Lazard and Goldman Shock bankers.
In Europe, its petrochemical resources have added to the topic of interest, tax, depreciation and earning around $ 250 million before it earns around $ 250 million before it is added to the subject. They warned that no final decision was made.
Sabic did not respond to the requests for comments. Lazard and Goldman refused to comment.
Dow said in October that it would carry out a strategic review of some resources in the region, a Houston -based Leandelbassel announced a step after announcing its own strategic review for European resources.
“The regulatory environment of Europe has increased the challenges throughout many sectors and pricing discipline,” Dawy’s chief executive and chair gym feterling says that the result of the third-fourth of the company. “We announce a strategic review of the selected assets in Europe, mainly in our polyurethans business.”
Petrochemicals Group is the owner of the Billionaire of the Legal Legislative Sir Jim Retcliffe in consistently Careful The high energy prices and carbon tax are due to Britain’s chemical industry to extinction.
He said in January, “We are witnessing the extinction of one of our major industries because chemical production has removed life from it,” he said in January. Last week, he called on the UK to “revisit” taxes.
In March, the INOOS sold its composite business, which provided the KPS capital partners to make plastic and cover for € 1.7BN. This business had 17 sites across Europe, North and South America, Asia and the Middle East.
An European chemical company is trying to secure the cheap and less unstable supply of gas on a sign of European chemical companies, the INOS said last week that they signed an eight -year supply agreement with the fellow chemicals agency Covestro for US gas.
Chemicals Advisory Firm Natrium Capital Chief Executive Alasdire Nisbet said, “Many people are looking at where we are and say we have found some inefficient plants in Europe or get isolated plants and they are trying to find a house for them.” “You are seeing rewrite of what is competitive.”
