LyondellBasell to build metathesis unit to make propylene

HOUSTON (ICIS)–LyondellBasell has approved plans to build a metathesis unit in Channelview, Texas, that will convert ethylene into propylene, the producer said on Monday.

Construction should start in the third quarter of 2025, and operations should begin in late 2028, LyondellBasell said.

The metathesis unit will produce 400,000 tonnes/year of propylene, the company said. LyondellBasell plans to use the propylene in its internal polypropylene (PP) and propylene oxide (PO) units. The company started up its new PO/tertiary butyl alcohol (PO/TBA) plant in Channelview in 2023.

By producing its own propylene, LyondellBasell limits its exposure to volatile feedstock prices, said Kim Foley, executive vice president, Global Olefins & Polyolefins and Refining. “This capacity expansion strengthens our ability to meet increasing customer demand and improve our self-sufficiency as we grow and upgrade a core business line for LyondellBasell.”

Thumbnail shows PP, which is made from propylene. Image by Shutterstock.