02 August 2013 18:03 [Source: ICIS news]
NOVA is considering building another Advanced Sclairtech PE plant in the Sarnia region in the Canadian province of Ontario.
Earlier in March, an executive said such a plant could have a capacity of 470,000 tonnes/year.
As a base case, NOVA may choose to expand its cracker in Corunna, Ontario, which would supply the ethylene to the new PE plant, said Randy Woelfel, NOVA CEO. Woelfel made his comments during an earnings conference call.
However, NOVA is also considering ethylene sources on the US Gulf coast, Woelfel said.
NOVA should make a decision on the PE project by the end of the year, he said.
If NOVA pursues the project, it would be its second PE plant would use feedstock derived from expanding oil sands and shale energy production in the US and Canada.
In June, the company broke ground on a 1bn lb/year (454,000 tonne/year) linear low density polyethylene (LLDPE) expansion project in Joffre, Alberta, Canada. It should come on line in late 2015.
NOVA has been aggressive in securing new ethylene feedstock from oil-sands upgraders in Canada, shale-oil production in North Dakota, as well as shale-gas reserves from the Marcellus in the northeast US.
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