18 November 2013 02:25 [Source: ICIS news]
CARTAGENA, Colombia (ICIS)--Mexico’s chemicals producer Mexichem plans to raise its polyvinyl chloride (PVC) capacity by 300,000 tonnes/year to a total of 1.5m tonnes/year by 2016, a senior executive said on Sunday.
According to its CEO, Rafael Davalos Sandoval, Mexichem is in the midst of increasing its feedstock vinyl chloride monomer (VCM) capacity through its joint venture – Petroquimica Mexicana de Vinilo (PMV).
The VCM capacity will be raised from around 200,000 tonnes/year currently to 400,000 tonnes/year by September 2015, he said.
Davalos Sandoval was speaking to ICIS at the 33rd annual Latin American Petrochemical and Chemical Association (APLA) meeting in Cartagena, Colombia.
Mexichem owns 56% of PMV, while Mexico's state-owned energy company Pemex holds the remaining 44%.
“Right now, Mexichem has a total of 1.2m tonnes/year of PVC capacity in Mexico and Colombia, and [the company] needs an equal amount of VCM feedstock,” Davalos Sandoval said.
“We are planning for [a supply of] 400,000 tonnes/year from PMV and another 600,000-700,000 tonnes/year from the joint venture with OxyChem (Occidental Chemical). The rest we would get from suppliers in the US,” he added.
Mexichem recently finalised a joint venture with US-based OxyChem to build a cracker at Ingleside in Texas along with a VCM plant to supply feedstock to its PVC operations.
“In the next three years, we will be well integrated in PVC,” said Davalos Sandoval.
The APLA 2013 meeting runs from 16-19 November.
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