LyondellBasell declares force majeure on US EO/EG

HOUSTON (ICIS)–LyondellBasell has declared force majeure on US ethylene oxide (EO) (pure) and ethylene glycols (EG) due to the complete failure of third-party supplier of steam to the Bayport, Texas EO plant, according to a customer letter obtained on Tuesday.

The EGs affected by this include monoethylene glycol (MEG), diethylene glycol (DEG) and triethylene glycol (TEG).

The failure is a rupture of the supplier’s dedicated pipeline to the Bayport Plant.

As a result, production of EO and EG have been curtailed.

Though the extent of the impact has not yet been fully defined, the company is working with their provider of steam to understand the length of the impact on their production capability.

The Bayport plant has an EO capacity of 380,000 tonnes/year and an EG capacity of 265,000 tonnes/year.

Major glycol producers in the US include Eastman Chemical, Huntsman, Indorama Ventures, LyondellBasell, Nan Ya Plastics, Shell Chemical and MEGlobal.