Global ethylene capacity to rise swiftly in 2012

03 Jul '12

4 min read

In North America, Brazilian company Braskem SA and Mexican group Idesa have joined hands to construct the Coatzacoalcos Petrochemical Complex in Nachital, state of Veracruz in Mexico. The project is expected to produce 1.05 million tpy of ethylene when it starts production in early 2015. In Canada, Nova Chemicals is expanding its ethylene production capacity at Corunna, Ontario, unit.

The feverish pace of shale gas exploration in the US has raised prospects for large quantity of low-priced natural gas that can be used as a feedstock for production of ethylene. This has caused several companies to announce either expansion or new plans for producing ethylene.

Westlake Chemical is increasing ethylene capacity at its Lake Charles, Los Angeles-based plant in two phases. While the first phase is scheduled for completion by 2012-end, the second phase will get completed by 2014-end.

LyondellBasell is adding 227,000 tpy of ethylene capacity by debottlenecking crackers at its two Texas-based plants and by constructing a new plant. While capacity expansion at Channelview plant is likely to get completed this year, the new project is set for completion in 2014.

INEOS Olefins & Polymers USA is currently undertaking ethylene production capacity expansion at its Chocolate Bayou plant, east of Houston. The company plans to add 115,000 tpy of ethane cracking capacity by next year.

Williams Olefins is increasing its ethylene capacity to 885,000 tpy at its Geismar, Los Angeles-based plant, which is set to complete by third quarter of 2013.

Not to be left behind, Shell is setting up a petrochemical complex at a site near Pittsburgh.

Another company, Sasol Ltd. is considering setting up a 1-1.4 million tpy ethylene plant in Louisiana. However, it will take another one year for it to complete the feasibility study.

A 1.5 million tpy grassroots ethylene plant is being designed by Chevron Phillips Chemical Co. to be set up at its Cedar Bayou plant in Baytown, Texas.

ExxonMobil Corp. is constructing a 1.5 million tpy ethane cracker at is Baytown, Texas-based refining and petrochemical complex, just east of Houston. The company expects to begin construction some time next year and hopes to begin production in 2016.

Dow Chemical Co. is building a 1.5 million tpy ethylene cracker at its Freeport, Texas-based unit, which is scheduled to commence production in 2017.

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