Ineos Creates Six O&G Businesses
After making several acquisitions in both the onshore and offshore gas sector over the past two years, Ineos has reorganized and split the operations into six new oil and gas business units, and now regards itself as a “top-ten company in the North Sea and the biggest privately-owned exploration and production business operating in Northwest Europe.”
Geir Tuft, CEO of Ineos Oil & Gas, said the new division of operations will allow for more effective management.
Ineos Oil & Gas currently employs around 1,000 people across 13 producing assets in Norway, Denmark and the UK. By its own account, it has a daily production of 95,000 barrel of oil equivalent (boe) and what it calls “extensive gas reserves” in place, estimated at 3-5 trillion cubic feet.
Along with securing a controlling interest in the North Sea’s Clipper gas field with the acquisition of the 25% stake held by the UK’s Fairfield Energy and picking up DEA’s UK assets in 2015, Ineos’ acquisition drive last year saw it take DONG Energy’s Oil & Gas business and the Forties Pipeline System formerly owned by BP. Over the past several years, the Swiss-headquartered group has nailed down a large number of exploration licenses for conventional and unconventional gas. It is now the biggest license-holder in the UK. Finally, Ineos has expanded its upstream service activities.
Among the six new independently managed businesses, Ineos Oil & Gas Denmark consists of operated and non-operated oil and gas assets. It is headed by Flemming Horn Nielsen as CEO and has offices and operations in Esbjerg and Gentofte.
Also in the Nordic region, Ineos Oil & Gas Norway is comprised of Ineos-owned assets in that country. Headed by Sebastian Koks Andreassen as CEO, the standalone unit has one office located in Stavanger.
London-based Ineos Oil & Gas UK, led by CEO David Brooks, holds the Breagh assets and all other potential exploration sites, mainly in the West of Shetlands area that were operated by DONG Energy.
The new Ineos FPS headed by Andrew Gardner as CEO incorporates the Forties Pipeline System, the Kinneil terminal and gas processing plant and the Dalmeny terminal – both near Ineos’s Grangemouth complex on the Firth of Forth – along with sites at Aberdeen, Scotland, the Forties Unity Platform and associated infrastructure.
Ineos Shale, as the name suggests, is focused on pursuing onshore unconventional gas development. The business headed by Ron Coyle is based in London.
Finally, Ineos Upstream Services, headed by Geoff Holmes as COO, is also based in London. This unit is in charge of onshore seismic surveying.