The company plans to share £2.5bn of its profits over the life of its Shale gas business in the country. This is aimed at generating community support for Shale gas production.
Ineos founder and chairman Jim Ratcliffe said: "We think this is a game changer for Britain.
"Giving 6% of the revenues to those living above our Shale gas operations will give them a real stake in the success of the venture and encourage the development of the whole Shale gas industry."
The communities living within approximately 100 km2 will receive the benefit from the production of 200 wells – about £375m will be split between them.
Additionally, home and landowners directly living above the wells would receive £250m while the remaining of an INEOS Shale gas community will receive £125m, which will be used for construction of schools, parks and hospitals.
Home and landowners are expected to receive more than £1.3m and the community would get £600,000 during the lifetime of one well.
Ratcliffe adds, "Giving 6% of revenues to those directly above Shale gas wells means the rewards are fairly shared by everyone. It’s what they do in the USA and we think it is right to do this here. It democratises the Shale gas revolution."
