United States Of America : IVL inks deal for US ethylene gas cracker feedstock

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Home / Knowledge / News / Textiles / IVL inks deal for US ethylene gas cracker feedstock

IVL inks deal for US ethylene gas cracker feedstock

13
Dec '16

Thailand based and global specialty chemicals producer Indorama Ventures Public Company Limited (IVL) has signed a long term agreement with Targa Resources Corp, for all its ethane and propane feedstock supplies at its gas cracker in Lake Charles, Louisiana. Additionally, Targa Resources will also provide storage for these gases locally at Lake Charles.

IVL had acquired the Lake Charles ethylene cracker in September 2015, which is currently undergoing refurbishment and is expected to start up in the fourth quarter of 2017.

The cracker can process both ethane and propane feedstock to produce around 420,000 tons of ethylene and 20,000 tons of propylene per annum.

“This multi-year contract will provide IVL with 100 per cent of our ethane and propane needs to meet our ethylene requirements at favourable terms, IVL chairman Aloke Lohia said. “The flexibility of the cracker to swing between ethane and propane will allow us to take advantage of shale gas economics, as well as effectively becoming the most vertically integrated among all North American PET producers.”

IVL also inked a separate contract with Boardwalk Louisiana Midstream, LLC to provide pipeline transportation and local storage for the ethylene that will be produced at the Lake Charles gas cracker. (AR)

Fibre2Fashion News Desk – India

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