Home / Knowledge / News / Textiles / Formosa to increase naphtha cracking capacity in US
Formosa to increase naphtha cracking capacity in US
Aug '11
Formosa Plastics Corporation, USA will increase the annual capacity of ethylene produced at its naphtha cracking complex by 800,000 metric tons, up from its original plan of 450,000 metric tons.

The cost of investment for the expansion project for the third naphtha cracker will be over US$ 1.5 billion, higher than the US$ 900 million planned originally.

The third naphtha cracker uses shale gas as raw material, while the first and second naphtha crackers use naphtha as raw material.

When the expansion project gets completed by 2015, the annual capacity of Formosa Plastics USA will rise to 1.24 million metric tons of propylene and 2.42 million metric tons of ethylene.

This will still be less than the annual production capacity of Formosa Plastics Group's (FPG's) petrochemical complex located in Taiwan's Yunlin County, which has the capacity to produce 2.37 million metric tons of propylene and 3 million metric tons of ethylene.

The expansion project to be undertaken at the Point Comfort production base in Texas is expected to get approval for expansion by 2012. The increased production of ethylene and propylene would be supplied to the customers in North and Latin America.

Once the expansion is completed, Formosa Plastics USA will contribute about 10 percent to the revenue and profit of FPG, its parent company. Currently, it accounts for about 7.3 percent of the revenue of FPG.

The output of a shale gas mine owned by Formosa Plastics USA is used as raw material for the naphtha crackers and also supplied to customers.

Fibre2fashion News Desk - India

Must ReadView All

Apparel/Garments | On 26th Oct 2016

SGS develops 4C chemical management model for apparel

SGS, a leading inspection, auditing, certification, testing, and...

Textiles | On 26th Oct 2016

Whitehouse & URI Business Centre start RI textile network

Senator Sheldon Whitehouse and the University of Rhode Island...

Textiles | On 25th Oct 2016

Arvind to dilute 10% stake in brand business arm

Arvind Limited, one of India’s largest integrated textile and apparel ...

Interviews View All

Mukesh Agarwal & Rajesh Agarwal
Madhuram Fincap Pvt Ltd

Increasing prices and lack of demand main issues facing industry

Evelyne Cholet

‘France had a reputation of being big in new ideas, but poor in marketing...

Dinaz Madhukar
DLF Emporio and DLF Promenade

‘Each event and promotion is planned out keeping in mind the business of...

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer Prathyusha Garimella is known for blending...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies

October 2016

October 2016

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


Advanced Search