Corrected: APLA ’13: Pemex eyes EG and aromatics JV, cracker expansion – exec

18 November 2013 19:16 Source:ICIS News

Correction: In the ICIS story headlined "APLA '13: Pemex eyes EG and aromatics JV, cracker expansion - exec" dated 18 November 2013, please read in the fourth paragraph ... "each with a capacity of 600,000 tonnes/year" ... instead of ... "with combined capacity of 600,000 tonnes/year". A corrected story follows:

CARTAGENA, Colombia (ICIS)--Mexico’s state owned energy company Pemex is exploring a joint venture (JV) to build ethylene oxide (EO)/ethylene glycol (EG) and aromatics facilities, along with expanding cracker capacity in Mexico, a senior executive said on Monday.
 
“We are looking for a local Mexico partner to build EO/EG and aromatics plants. Since we don’t produce enough ethylene now for EO/EG, that implies expanding our crackers,” said Carlos Pani, senior vice president of petrochemical sales and marketing at Pemex.
 
Pani spoke to ICIS at the 33rd annual Latin American Petrochemical Association (APLA) meeting in Cartagena, Colombia.
 
Pemex has two ethane crackers in Cangrejera and Morelos, Mexico, each with a capacity of 600,000 tonnes/year.
 
“We can expand our existing crackers to get another 200,000-300,000 tonnes/year of ethylene,” said Pani.
 
The entire project, including the construction of EO/EG and aromatics facilities, could take two to three years to complete, he said.
 
In September 2013, Pemex completed its first ever joint venture – a partnership with Mexichem to double vinyl chloride monomer (VCM) production to 400,000 tonnes/year by 2015.
 
“That JV was ground breaking and opens the door for additional ones. We learned a lot in the process, and you can expect more form Pemex,” said Pani.
 
The proposed energy reforms in Mexico that would also include Pemex operating more as an independent company with competition rather than as a state monopoly will also spur additional ventures, he noted.
 
The APLA conference ends on Tuesday.

By Joseph Chang