30 April 2012 15:49 [Source: ICIS news]
HOUSTON (ICIS)--Chevron Phillips Chemical (CP Chem) has selected Old Ocean, Texas, as the site for its two planned polyethylene (PE) plants, the company said on Monday.
The plants would each have a capacity of 500,000 tonnes/year, using CP Chem’s propriety loop slurry technology. The facility should be on line by 2017, the company said.
The site is close to CP Chem’s Sweeny complex in Old Ocean.
The company also announced it executed a front-end engineering and design (FEED) agreement with Jacobs Engineering Group for the PE plants.
CP Chem did not disclose the cost of the two plants.
“We continue to believe that synergy with our existing Gulf coast operations, proximity to feedstock supply and application of proprietary technologies uniquely positions our company to capitalise on the opportunity that development of abundant shale resources affords the United States, and in particular the Gulf coast region,” said CP Chem chief executive Peter Cella.
Additionally, CP Chem has chosen Shaw Energy & Chemicals to design a previously announced 1.5m tonne/year ethane cracker, located at the company’s Cedar Bayou facility in Baytown, Texas.
The total investment for the project is about $5bn (€3.8bn), the company said.
CP Chem’s announcement is the latest in a flurry of recent activity.
Formosa Plastics has plans for an 800,000 tonne/year olefins cracker, a propane dehydrogenation (PDH) unit and a low-density polyethylene plant at its Port Comfort, Texas, site, with a start up as early as 2016.
Renewable Manufacturing Gateway (RMG) and Aither Chemicals signed a letter of engagement to collaborate on financing and building a petrochemical complex using Aither's ethane-cracking technology.
Indorama, Sasol, Mexichem and SABIC have all announced feasibility projects or other deals regarding ethane crackers.
Additional reporting by Brian Ford
($1 = €0.76)
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