Earlier this year, OMV and the Abu Dhabi National Oil Company (ADNOC) announced they signed a landmark agreement to merge their respective polymer subsidiaries — Borealis and Borouge — into a single entity named Borouge Group International, creating what will become the world’s fourth-largest polyolefins producer.

The new company, headquartered in Vienna with regional headquarters in Abu Dhabi, will have a combined enterprise value exceeding $60 billion and an annual production capacity of over 13 million t. Both OMV and ADNOC will hold equal shareholdings of 46.94% in the group. OMV will contribute €1.6 billion in cash, adjusted for dividends paid before closing.

As part of the deal, Borouge Group International will acquire Nova Chemicals for $13.4 billion, expanding its footprint in North America and adding significant downstream and specialty capabilities.

OMV said the move marks a major milestone in its Strategy 2030 to shift from oil and gas towards chemicals and advanced materials, while ADNOC continues to pursue its diversification and integration ambitions.

The combination aims to unlock annual synergies of around $500 million, with 75% expected to be realised within the first three years after closing. Once Borouge 4 — the $7.5 billion expansion project in Ruwais — becomes operational, it will be contributed to the new company by end-2026. The project remains on track for completion by the end of 2025, further boosting the group’s production capacity and reinforcing its presence in Asia and the Middle East.

The merger will create a company second only to Sinopec, ExxonMobil, and Dow in terms of global polyolefin capacity, positioning Borouge Group International among the top four players worldwide.

What it means for the market

The transaction represents a transformative shift in the global polyolefins landscape, consolidating European, Middle Eastern, and North American production under a single entity. The integration of Borealis, Borouge, and Nova will significantly enhance vertical integration and improve feedstock flexibility, giving the new group access to low-cost ethane- and naphtha-based production.

For Europe, the merger may intensify competition among existing producers.

The transaction is expected to close in Q1 2026. Once completed, Borouge Group International will become a major integrated force in global polyolefins, with its scale, geographic diversity, and technology integration likely to reshape trade flows and competition across Europe, the Middle East, and beyond.

ExxonMobil Corporation reported Q3 2025 earnings of $7.5 billion, or $1.76 per share. Cash flow from operating activities reached $14.8 billion, while free cash flow amounted to $6.3 billion. Shareholder distributions totalled $9.4 billion, including $4.2 billion in dividends and $5.1 billion in share repurchases, in line with the company’s announced plans.

‘ExxonMobil delivered strong results in Q3, continuing to demonstrate that we are truly in a league of our own,’ said Darren Woods, Chairman and Chief Executive Officer of ExxonMobil.

Year-to-date earnings stood at $22.3 billion, compared with $26.1 billion in the same period last year.

Earnings excluding one-off items related to restructuring expenses were $22.9 billion, down from $26.1 billion a year earlier.

Lower crude oil prices, minimal profitability in chemical products, higher depreciation, growth-related expenses, and reduced base volumes following strategic asset sales led to the decline in earnings. These factors were partially offset by favourable volume growth in the Permian Basin and Guyana, additional structural cost reductions, and positive timing effects.

Year-to-date chemical earnings amounted to $1.1 billion — $1.4 billion lower than in Q1—Q3 2024. The results were affected by narrower margins and increased expenses associated with the company’s chemical complex in China, partially offset by structural cost savings and record sales of high-value products.

Q3 chemical earnings of $515 million rose by $222 million compared with Q2. Margin improvements, record high-value product sales, and lower expenses were partly offset by an unfavourable regional volume mix.

Overall, petrochemicals contributed about 7% to the company’s total earnings, which is lower than in the Upstream segment but highlights potential for future growth.