(Plastemart) -- Talks are underway between Grangemouth refinery owner Ineos and Chinese giant PetroChina. The two have been negotiating a possible deal for at least a year. Discussions are expected to continue this week amid claims that an agreement for sale was signed last month.
Last year, Ineos secured a grant of 7.6 mln pounds from the Scottish Government to upgrade the refinery petrochemicals complex as part of a 110 mln pounds investment plan. However, it had to shell out 170 mln pounds for industrial relations problems over the closing of its pension scheme.
Ineos has been considering options for the facility which needs considerable investment. It is unclear whether the talks are focused on an outright sale to PetroChina, or selling the refining business, but not the petrochemical division.