08 September 2006 19:19 [Source: ICIS news]
TORONTO (ICIS news)--Southwest Ontario has no immediate prospects for attracting new chemical investments to replace the loss of Dow Chemical’s plants at the Sarnia petrochemicals hub, an official said on Friday.
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Dow said last week it will close all of its manufacturing plants in Sarnia by the end of 2008 due the unavailability of affordable feedstock following the suspension of ethylene shipments on the
Dow's is closing plants making low density polyethylene (ldPE), polystyrene, acrylate latex and propylene oxide derivatives. The company had closed its epoxy resin plant in 2004 and last year it closed a polyethylene wax facility.
Mallay said the impacts of the latest closures in
He added that Dow’s closures would have been more devastating 10 years ago. The region has diversified beyond chemicals and petrochemcials into automotive parts, call centre services, bio-products and other sectors, he said. He noted the recent start-up of Suncor’s 200m litre/year ethanol plant,
Mallay said SLEP will work with Dow to find potential investors for the idled plants. He said there are no concrete prospects for any new chemicals investments at
Mallay said he did not expect the
BP, which operates the Cochin pipeline via two subsidiaries, suspended ethylene shipments in March, citing an incident of stress corrosion cracking and ethylene’s high vapour pressure. But a BP official told ICIS news earlier this week the company plans to resume ethylene shipments after 2007 if there is demand.
Excluding Dow’s operations,
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