BP said the sale, subject to regulatory approval, would mark the next strategic step in re-inventing the company as well as assisting it to meet its target for revenue from disposal of assets.
It said the petrochemicals unit covered two main businesses – aromatics and acetyls – in which it had a strong presence in growth markets in Asia.
The businesses are involved in 14 manufacturing plants in Asia, Europe and the United States, producing 9.7 million tonnes of petrochemicals in 2019.
According to the Chief Executive Bernard Looney, is is another significant step as the company steadily work to re-invent BP.
“These businesses are leaders in their sectors, with world-class technologies, plants and people.
“I know this decision will come as a surprise and we will do our best to minimize uncertainty,” Looney said.
INEOS Founder and Chairman, Jim Ratcliffe, said his company was delighted to acquire these top-class businesses from BP, extending its position in global petrochemicals and providing great scope for expansion and integration with existing business.
Earlier, BP announced plans to cut nearly 10,000 jobs worldwide, most of them in 2020, as it seeks to develop a fast-moving and lower carbon company.
It cited plunging oil prices and BP spending more than it earns, causing a rise in net debt of 6 billion dollars in the first quarter of 2020.
Edited By: Yahaya Isah/Emmanuel Yashim (NAN)