Page 44 - Plastics News December 2017

BUSINESS NEWS

LyondellBasell invests in European ONGC Videsh acquires 15 per

recycling plastics firm cent stake in Namibia oil block

yondellBasell is acquiring a 50 percent stake in the NGC Videsh has acquired a 15 per cent stake
LDutch plastics recycling company Quality Circular Oin an oil block in Namibia for an undisclosed
Polymers (QCP). Houston-based LyondellBasell said it was amount. According to reports the Namibia Petroleum
entering into a 50-50 partnership with French water and Exploration License (PEL) 30 has given a 15 per cent
waste management company Suez, which is a strategic participating interest to OVL in Block 2012A from
investor in the Sittard-Geleen-based recycling company. Tullow Oil of UK. This is OVL’s second acquisition in
the African nation.
OVL, the overseas arm of state-owned Oil and Natural
Gas Corporation elaborated that OVL, through its
indirect subsidiary ONGC Videsh Vankorneft Pte Ltd
(OVVL) has signed binding agreements with Tullow
Namibia Ltd, a wholly owned subsidiary of Tullow
Oil plc, for the stake buy. Tullow held 25 per cent
in the block. OVL said the fresh acquisition would
strengthen its partnership with Tullow and its other
partners and would mark consolidation of interest
in Namibian offshore projects. The acquisition is
consistent with OVL’s strategic objective of adding
The transaction, for an undisclosed value, is expected to high quality exploration and production assets to its
be completed by the end of the year following regulatory existing exploration and production portfolio. Eco Oil
approvals. LyondellBasell said the investment marks the and Gas Namibia (Pty) Ltd with 32.5 per cent stake,
Azimuth Namibia Ltd (32.5 per cent) and National
first time a major materials supplier is partnering with a Petroleum Corp of Namibia (Pty) Ltd (10 per cent) are
resource management company to contribute to circular
economy objectives. "As the circular economy increases in
prominence and importance, we believe that demand for
recycled materials will continue to grow," LyondellBasell
CEO Bob Patel and Suez CEO Jean-Louis Chaussade said in a
joint statement. The acquisition taps into LyondellBasell's
European market presence and technical capabilities
combining it with Suez's ability to collect and recover
waste into new materials.
QCP was founded in 2014 and starting in 2018, its Sittard-
Geleen facility, near Maastricht, will have a capacity
to convert consumer waste into 35,000 metric tons of
polypropylene and high-density polyethylene per year.
According to the QCP website, the company’s facility in
Chemelot, the Netherlands, has room for expansion of up
to 100,000 tonnes a year. The total investment into the
QCP plant will be 75 million euros ($89.4 million). Of that
amount 35 million euros ($41.7 million) was invested in other partners in the licence. The licence is currently
the first phase of the facility, which started production at under First Renewal Exploration Period and the joint
the end of 2015. LyondellBasell will market QCP materials venture partners are carrying out data evaluation for
following the completion of the transaction. identifying a drill prospect.

Plastics News December 2017 44