Dow to pursue ethanol-to-PE complex in Brazil

05 May 2009 23:15  [Source: ICIS news]

SAO PAULO (ICIS news)--Dow Chemical will continue to pursue its plans to build a ethanol-to-polyethylene (PE) complex in Brazil, the company said on Tuesday.

“We continue to be enthusiastic about the project’s benefits for Dow’s growth in Brazil,” according to a statement by the company.

A Brazilian newspaper had said that the company was suspending the $1bn ($750m) project.

Dow said PE in Latin America is one of the most strategic markets for the company.

“A world-scale manufacturing asset in Brazil using a renewable source of ethylene is still a priority for Dow,” added the firm.

The complex will be capable of producing 350,000 tonnes/year of linear low density PE (LLDPE). Production should begin in mid 2011.

The complex, according to the company, will be fully integrated and will have a sugarcane plantation.

Ethanol produced from the sugarcane would be converted into ethylene and finally into PE.

Dow said the location of the unit is still under study.  

($1 = €0.75)

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By: Hellen Berger
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