17 September 2008 15:25 [Source: ICIS news]
LONDON (ICIS news)--Repsol will invest €1bn ($1.4bn) in an expansion at its Sines in southern Portugal for start-up in 2011 which will add polyolefins units to the petrochemical complex, the Spanish oil and petrochemicals producer said on Wednesday.
This figure exceeds the €850m figure the company had previously indicated it would spend on the site through its 2008-2012 strategic plan.
It also set back the date of the planned start-up from late 2010 to 2011.
The company is planning to increase its existing cracker capacity at the site by 40% to 570,000 tonnes/year of ethylene and will build polyethylene (PE) and polypropylene (PP) plants with 300,000 tonnes/year.
In addition, a cogeneration plant of 45 megawatts (MW) will be built, Repsol said.
Repsol is targeting most of the new production for export at a value of more than €1.2bn a year, it said.
The expansion would turn the Sines complex into an integrated polyolefins producer from being a mere exporter of olefins. Currently, almost 30% of ethylene and 100% of propylene produced at the site is exported, according to Repsol.
"Without a doubt ?xml:namespace>
“Consequently the Sines petrochemical complex is an extremely important project for Repsol which is included in the company’s main worldwide strategic growth projects for the coming years,” he added.
Five-hundred jobs will be created at the new site.
($1 = €0.71)
For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.
Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.
|ICIS news FREE TRIAL|
|Get access to breaking chemical news as it happens.|
|ICIS Global Petrochemical Index (IPEX)|
|ICIS Global Petrochemical Index (IPEX). Download the free tabular data and a chart of the historical index|