SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 6-K
Report of Foreign Issuer
Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934
for the period ended 08 June 2005
BP p.l.c.
(Translation of registrant's name into English)
1 ST JAMES'S SQUARE, LONDON, SW1Y 4PD, ENGLAND
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual
reports under cover Form 20-F or Form 40-F.
Form 20-F |X| Form 40-F
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Indicate by check mark whether the registrant by furnishing the information
contained in this Form is also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of
1934.
Yes No |X|
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press release
June 8, 2005
INNOVENE AND DELTA OIL AGREE TO EXPLORE MAJOR
PETROCHEMICAL INVESTMENT IN SAUDI ARABIA
Innovene, BP plc's petrochemicals and refining subsidiary, and Delta
International, a leading Saudi-owned independent development company, announced
today the signing of a Memorandum of Understanding (MOU) for a major investment
in Saudi Arabia's petrochemical sector.
The memorandum marks the beginning of detailed negotiations between Innovene and
Delta for the construction of a world-scale cracker and associated derivative
capacity in the Kingdom, with sites being explored in Jubail. It is intended
that this project, which is expected to cost around $2bn, will form a platform
for future long-term growth opportunities.
Innovene and Delta will be equal partners within the joint venture. It is
anticipated that, subject to final approvals, an agreement will be signed before
the end of the year, with commissioning of the first plants expected in late
2008.
The MOU was signed last night at a ceremony in Riyadh by Ralph Alexander, CEO of
Innovene and Mr Badr Al-Aiban, Chairman and CEO of Delta in the presence of His
Highness Prince Saud Bin Thunayyan Al-Saud, Chairman of the Royal Commission for
Jubail and Yanbu.
Commenting on the joint venture with Delta, Ralph Alexander said: "We see this
joint venture as the first chapter in a long and fruitful partnership between
Innovene and the Kingdom of Saudi Arabia. It confirms Innovene's position as a
truly global petrochemicals player, including Delta on the list of highly
respected companies with whom we have partnerships around the world and adding a
major Middle East position to our existing portfolio of assets in North America,
Asia and Europe."
Badr Al-Aiban commented: "We are delighted to be partnering with Innovene, one
of the largest petrochemical companies in the world, and look forward to a
successful venture. Delta has a long reputation for its ability to forge highly
successful long-term strategic alliances with both major companies and the
countries in which we operate. As a Saudi company with domestic and global
activities, we are pleased to be able to play such an important part in the
continuing development of Saudi Arabia's petrochemicals industry."
Notes to editors:
Innovene
- Innovene was created as a wholly owned subsidiary of BP on April 1,
2005. BP may sell part of its stake in Innovene by way of an IPO later in
2005, subject to necessary approvals and market conditions.
- Innovene has more than $15bn of revenues, 15 million tonnes of
petrochemical production volumes and $9bn in total assets.
- Innovene's major manufacturing sites include Grangemouth in Scotland,
Lavera in France, Koln in Germany and Lima, Chocolate Bayou and Green Lake
in the US. SECCO, the joint venture between Innovene/BP, Sinopec and SPC in
Shanghai and the largest petrochemical complex in China to date, became
fully operational in March 2005.
- Innovene manufactures petrochemicals, including olefins (ethylene and
propylene) and their derivatives such as polyethylene, polypropylene,
acrylonitrile, linear alpha olefins, polyalphaolefins, and solvents. These
chemicals are used to make a wide variety of plastic goods, including food
and drink containers and wrappings, pipe work, automotive parts and
mouldings. Innovene also manufactures gasoline, diesel and other refined
products in the Grangemouth and Lavera refineries.
- The company's global headquarters are located in Chicago.
- For more information on Innovene, visit www.innovene.com
Delta
- Delta International, a leading private Saudi-owned independent
development company, was founded by its Chairman and Chief Executive
Officer, Mr. Badr Al-Aiban in 1978, and its activities have expanded
significantly since its inception. Delta is headquartered in Jeddah.
- Delta played an important role in the conception of the "Contract of the
Century"; the formation of the consortium for the supergiant Azeri, Chirag,
Gunashli field, offshore Azerbaijan, and during that time identified and
participated in a number of other major projects within the Caspian region,
Central Asia and the Middle East.
- Delta's current activities upstream projects are focused primarily on
North and West Africa.
- For more information on Delta, visit www.Delta-oil.com
Further media enquiries:
Ben Moxham, Innovene, +44 7989 566560
Robert Wine, BP Press Office, +44 20 7496 4827
ENDS
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
BP p.l.c.
(Registrant)
Dated: 08 June 2005 /s/ D. J. PEARL
..............................
D. J. PEARL
Deputy Company Secretary