INEOS and Covestro have signed a long-term agreement for the supply of natural gas for up to eight years, starting 2027.
The agreement builds on INEOS' newly established LNG supply chain, and both companies' commitment to support European industrial competitiveness.
Covestro uses natural gas as a feedstock as well as an energy source. The partnership will enable the supply of natural gas sourced from INEOS’ global LNG portfolio, providing a stable and predictable feedstock and energy stream for Covestro’s European operations.
“Our goal is to supply customers with vital energy throughout the energy transition, not just at the end. That means maintaining competitive hydrocarbon supplies as alternatives emerge and grow. This long-term LNG deal with Covestro does exactly that, providing reliable, cost-effective energy to help our industrial partners manage volatility and avoid shortages,” said David Bucknall, CEO of INEOS Energy.
"Securing a stable, competitive and predictable gas supply is essential for our operations right now. This agreement with INEOS provides us with the long-term security we need to maintain our production and contribute to the European economy.
“We value INEOS' commitment to supporting European industry and their proactive approach to addressing the region's energy challenges. This contract is an important building block for our transition as a company in the energy intensive industry towards an affordable renewable energy supply,” added Thorsten Dreier, Chief Technology Officer of Covestro.