INEOS celebrates 50-year anniversary of the Forties Pipeline System

INEOS has announced the 50th anniversary of the Forties Pipeline System (FPS), a piece of British engineering that the company says “has quietly powered” the nation’s economy for half a century.

Officially opened by Her Majesty Queen Elizabeth II on Nov. 3, 1975, the Forties Pipeline transformed the UK’s energy landscape. The pipeline system, INEOS noted, “took Britain from being almost entirely dependent on imported oil to becoming self-sufficient, fueling homes, transport, and industry for generations.” 

Since then, the FPS has safely transported over 9.6 billion barrels of oil and gas liquids from more than 80 North Sea fields to the Kinneil Terminal at Grangemouth. The offshore portion of the FPS now runs about 235 miles in length, including trunklines and gathering lines, to connect these fields to onshore markets.  

At its peak, the FPS carried around 40% of all UK oil production, providing the feedstocks for “fuels, plastics, and essential materials that underpin modern life,” the company said. 

INEOS further commented: “Today, FPS remains one of Britain’s most strategically important energy assets. It is designated as Critical National Infrastructure, supporting tens of thousands of jobs across Scotland and the wider UK, and providing the lifeblood for domestic manufacturing and historically, refining at Grangemouth.”

INEOS also commented on the larger UK North Sea E&P play: “Over the last 50 years, the UK’s North Sea oil and gas industry has contributed about half a trillion pounds in taxes to the UK Treasury, but the current unfathomable government tax policy on energy is self-harming this abundant and essential energy resource. Under the Energy Profits Levy (EPL), tax rates on energy have climbed to 78%, investments are at an all-time low, and the UK is becoming increasingly reliant on expensive imports. British politicians have placed their faith in global markets, declaring that oil and gas trade on international markets and so imports will always be available from somewhere.”

“However, as the Treasury is discovering, the taxes from those oil and gas molecules will no longer be arriving in the Exchequer. And an increasing proportion of the billions of pounds paid out by UK consumers in annual energy bills will be flowing out of the country to support rival economies.”

Since acquiring the system in 2017, INEOS says that it has invested more than £500 million to modernize, secure, and extend its life well into the 2040s and beyond. “This investment ensures that the UK retains a strong and resilient energy network, capable of serving the economy for decades to come,” the company’s statement said. “However, an urgent change of government policy is required to ensure [that] this can be delivered.”

“The Forties Pipeline is a national treasure,” said Andrew Gardner, CEO INEOS FPS. “For fifty years it has quietly done its job, safely, reliably, and efficiently, carrying the oil and gas that keeps the UK moving. We should never underestimate the value of home-grown energy. North Sea oil and gas have created enormous prosperity for Britain, and they will remain essential long beyond 2050. Even as we transition to cleaner forms of energy, we will still need reliable domestic supply to power industry, transport, and homes. The Forties Pipeline has served this country for half a century, and with continued investment and good policy, it will continue to do so for generations to come.”