APLA '10: Mexico’s Pemex to expand EO production

07 November 2010 22:45  [Source: ICIS news]

RIO DE JANEIRO (ICIS)--Pemex Petroquimica plans to expand its purified ethylene oxide (EO) capacity in Morelos, Veracruz, by 80,000 tonnes/year to 360,000 tonnes/year, an executive with the Mexican state-owned company said on Sunday.

Carlos Pani, sub-director for commercial operations, said the project, which is the second part of a two-phased expansion, is expected to be completed in the second half of 2013. Construction is scheduled to begin in the second half of 2011, he added.

Phase one of the project was completed last year and raised the purified EO capacity by 55,000 tonnes/year to 280,000 tonnes/year, Pani said.

The project will use Scientific Design technology, and the combined investment cost for the two phases is estimated at $270m (€189m), he told ICIS on the sidelines of the Latin American Petrochemical Association (APLA) annual meeting.

Part of the EO output will be supplied to Mexican producer Idesa for the production of ethylene glycol (EG) and part will be used for the production of ethoxylated products, Pani said. Idesa has an EG plant at the Morelos site.

Mexico currently imports almost half of its approximately 400,000 tonne/year EG consumption, he noted.

APLA lasts through Tuesday.

($1 = €0.70)

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By: Anna Jagger
+44 20 8652 3214

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