APLA ’11: Pemex to supply additional ethylene to VCM venture

07 November 2011 18:47  [Source: ICIS news]

BUENOS AIRES (ICIS)--Mexico’s state oil and gas company Pemex expects to use ethylene from all three of its crackers to supply the planned vinyl chloride monomer (VCM) expansion that is part of its joint venture project with Mexichem, a Pemex senior executive said on Monday.

“The 200,000 tonnes/year of ethylene from the Pajaritos cracker, which will be part of the joint venture, will supply part of the feedstock. Pemex will supply the rest from our other two crackers in Morelos and Cangrejera,” said Carlos Pani, vice president of sales and marketing for Pemex Petroquimica.

Pani spoke to ICIS on the sidelines of the 31st Latin American Petrochemical Association (APLA) annual meeting in Buenos Aires.

Pemex’s planned joint venture with Mexichem (60% Mexichem, 40% Pemex) will include a cracker, a VCM facility and a cogeneration plant – all in Pajaritos, Mexico, said Pani.

The VCM facility produces about 230,000 tonnes/year, and will be expanded to 405,000 tonnes/year by 2015, he said.

Mexichem’s contribution to the venture will include salt mining operations and a chlor-alkali facility in the Pajaritos area, he added.

The joint venture is expected to be finalised in February 2012, noted Pani.

Pemex will retain full ownership of its other two crackers in Morelos and Cangrejera, Mexico, which each have 650,000 tonnes/year of capacity.

The crackers are not operating at full capacity, so there is likely to be more spare ethylene to serve the expanded VCM facility, said Pani.

However, the company is studying the expansion of these crackers, he added.

Ethylene is used to produce ethylene dichloride, which is then used to produce VCM.

The 2011 APLA conference ends on Tuesday.


By: Joseph Chang
+1 713 525 2653



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