INEOS and Covestro have reached a multi-year agreement to provide natural gas to Covestro’s European operations beginning in 2027. The arrangement, which could run for up to eight years, leverages INEOS’ growing access to liquefied natural gas and supports both companies’ focus on strengthening Europe’s industrial resilience.
Covestro will receive gas from INEOS’ global LNG supply network, ensuring a dependable feedstock and energy source for its facilities. The agreement comes amid growing efforts across Europe to reduce energy risks by securing diversified supply channels.
David Bucknall, CEO of INEOS Energy, stated: “Our aim is to deliver the energy our partners need throughout the energy shift—not just once alternatives are fully available. This deal ensures cost-effective, steady energy for a key industrial player in Europe, helping mitigate market disruptions.”
Thorsten Dreier, CTO of Covestro, commented: “Reliable access to natural gas is vital for our business today. This deal gives us long-term certainty and helps keep our operations competitive. We appreciate INEOS’ role in supporting European industry and confronting the region’s energy supply challenges. It’s a critical step in helping us move toward affordable low-carbon energy.”
This supply contract underlines both companies’ shared intent to preserve Europe’s industrial strength. With steady access to gas, Covestro and INEOS are positioning themselves to safeguard production and manage supply risk during a time of transition. INEOS expanded into LNG in 2022, signing a 20-year deal with Sempra Infrastructure for 1.4 million tonnes of LNG annually from the U.S. Gulf Coast. INEOS operates globally, producing essential raw materials used across multiple industries including packaging, automotive, construction, and healthcare. The company is investing in cleaner technologies and efficiency improvements to reduce environmental impact.
Covestro is a leading producer of advanced polymer materials, serving industries from mobility to electronics and healthcare. The company is fully aligned with circular economy principles and targets climate neutrality for direct and indirect emissions by 2035, and full-scope neutrality by 2050. In 2024, Covestro reported €14.2 billion in revenue and employed around 17,500 people across 46 global sites.
