UPDATE: Chemical giant to invest hundreds of millions of pounds in shale gas

The company will unveil plans later today to press ahead with its previously announced intention to produce shale gas for its plant in Grangemouth, Scotland.

The company, which moved its headquarters to Switzerland from the New Forest for tax reasons, was started and it still run by Jim Ratcliffe, below, who has a home in Beaulieu.

Shale gas is extracted through a technique known as fracking, in which water and chemicals are injected into rock at high pressure. The process is hugely controversial and has sparked protests at several sites across the UK.

Richard Dixon, director of Friends of the Earth Scotland, said: ''The Scottish Government have taken a very cautious approach to unconventional gas and fracking, unlike the UK Government.

''With much tougher planning rules, more ambitious climate targets and a review of both health issues and licensing under way, Scotland is the last place any company should apply to frack.''

Energy Minister Matt Hancock said: ''It is good news that Ineos want to invest in extracting UK shale gas. Ineos is a major company with serious intent and the confidence to make the most of this domestic energy supply.

''Extracting domestic shale gas has the potential to create jobs, make us less reliant on imports from abroad and help us tackle climate change, all within one of the most robust regulatory regimes in the world.''

Simon Clydesdale, energy campaigner at Greenpeace UK, said: ''Investment is essential to transform our energy system, but not giant speculative bets on unproven and risky resources. Ineos have jumped on a spin-powered bandwagon which is going nowhere.

''Independent academics recently called out Government ministers over the ludicrous levels of hype around shale gas, saying 'shale gas has been completely oversold'. It seems that Ineos have based their business plan on breathless PR brochures rather than scientific reports.''