Williams to expand ethylene output at US Geismar cracker by 44%

20 September 2011 14:19  [Source: ICIS news]

HOUSTON (ICIS)--Williams plans to expand ethylene output at its cracker in Geismar, Louisiana, by 600m lb/year (272,158 tonnes/year) to 1.95bn lb/year, the US-based energy and petrochemicals firm said on Tuesday.

Williams expects to bring the 44% expansion on stream in the third quarter of 2013, it said. The project’s expected capital spending is in the range of $350m–$400m (€256m–€292m) in 2012-13, the company said.

The Geismar olefins plant is a light-end natural gas liquid (NGL) cracker with current volumes of 37,000 bbl/day of ethane and 3,000 bbl/day of propane, for an annual ethylene production 1.35bn lb/year.

“The shale gas revolution in the US, coupled with continued strong crude oil prices, has given US-based ethylene manufacturing a tremendous cost advantage over many other supply regions,” said Rory Miller, president of Williams’ midstream business.

“The results are a revitalised North American petrochemical business and a US ethylene market short of supply,” Miller said.

($1 = €0.73)

For more on Williams and other producers visit ICIS company intelligence

By: Stefan Baumgarten
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