Canada’s NOVA Chemicals signs ethane deal with Williams

28 March 2011 18:53  [Source: ICIS news]

LONDON (ICIS)--Canada’s NOVA Chemicals has signed a feedstock supply agreement with a subsidiary of Williams for a mix of ethane and ethylene to be extracted from off-gas produced at oil sands upgrading facilities, the company said on Monday.

The Williams subsidiary aims to produce up to 17,000 bbl/day of the ethane/ethylene mix for NOVA Chemicals, which will be transported via pipeline to NOVA Chemicals' petrochemical facilities at Joffre, Alberta.

"Securing this additional feedstock source for our facilities in western Canada will further support competitive polyethylene production for many years to come, while setting ourselves up for future growth," said NOVA Chemicals CEO Randy Woelfel.

Williams plans to invest (C$)311m ($318m) to expand its two primary facilities in Alberta to support the new agreement. The expansion of the Fort McMurray and Redwater facilities will begin in the first quarter of 2013. 

(C$1 = $1.02)

For more on ethylene visit ICIS chemical intelligence

By: Tanzeel Akhtar
+44 208 652 3214

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