08 October 2012 11:12 [Source: ICIS news]
BUDAPEST (ICIS)--Shale gas developments in the US have led to a “truly astonishing renaissance” in US petrochemicals that will have ramifications around the world, including for the industry in Europe, a top industry official said on Monday.
The development of shale gas has led to a shift in global competitiveness that has pushed the US right up the scale of competitive industries, said Tom Crotty, president of the European Petrochemical Association (EPCA).
Crotty, who is also INEOS Olefins & Polymers chief executive, was speaking at the 46th annual EPCA meeting in Budapest.
He said increased feedstock availability in the US has led to no fewer than 11 ethylene expansions now announced and a further seven being considered.
The arbitrage between the US and Europe seems inevitable, he told delegates, referring to a recent announcement by his own company to bring US gas into Europe.
The material is expected to be used as an alternative feedstock option for INEOS's gas cracker in Rafnes, Norway, a company spokesperson said.
Feedstock development is going to remain a major issue for this industry in the coming years, whether that is through novel gas, bio, waste or other feedstocks, Crotty told delegates.
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