Repsol: Multi-million investment to expand the Sines Industrial Complex
Repsol announced that it will invest EUR 657 million in the expansion of its Sines Industrial Complex, located on the Portuguese coast. On 13 October 2021, Repsol Chairman Antonio Brufau and CEO Josu Jon Imaz attended the signing ceremony of the investment contract with the Portuguese government, presided over by Prime Minister António Costa, and also attended by the Minister of State, Economy, and Digital Transition, Pedro Siza Vieira.
The company will build a linear polyethylene (LPE) plant and a polypropylene (PP) plant, each with a capacity of 300,000 tonnes per year. The facilities are expected to be operational in 2025 and to consolidate the Sines Industrial Complex as one of the most advanced in Europe due to its flexibility, high degree of integration, and competitiveness. Once in operation, the net increase in personnel will be approximately 75 direct jobs and about 300 indirect jobs.
The project has been considered by the Portuguese Government as an initiative of Potential National Interest (PIN), a qualification reserved for investments that make a significant contribution to the country's economy, and it will benefit from tax incentives for the investment of up to EUR 63 million. During his speech, Repsol's Chairman, Antonio Brufau, stated that "industry and technology are two essential levers for a country's competitiveness and economy". He also stressed that "private initiative and public policies must go hand in hand in the best possible way to achieve a successful energy transition that will generate economic activity and, at the same time, reduce emissions".
Antonio Brufau stressed the importance of this strategic investment, both for Repsol and for Portugal. It comes in addition to other investments made in the country by the company, such as the acquisition in 2004 of the Sines Industrial Complex – the largest petrochemical facility in Portugal – and also, that same year, of an important network of service stations in the country. Repsol has been one of the biggest investors in Portugal in recent years. This has allowed it to consolidate its position in a country where it directly employs 1,300 people, has 150,000 daily customers, and a market share that, in some businesses, exceeds 20 %. The expansion of the Sines Complex will be the largest industrial investment made in Portugal in the last ten years, said the company.
Repsol's CEO, Josu Jon Imaz, said that "this investment underlines Repsol's commitment to its industrial complex in Portugal and to the generation of wealth and quality employment in the country. The Sines Industrial Complex will become a European benchmark, and the advanced materials it will produce will play an important role in the decarbonization of society."