(ICIS) -- US-based Dow Chemical is
building its on-purpose propylene plant as a strategy to ensure reliable
feedstock supply for its downstream products, a consultant said on Monday.
Dow announced plans to build a propane dehydrogenation (PDH) plant for start-up
in 2015. Dow is also considering a second propylene plant with a possible
start-up in 2018.
An on-purpose propylene plant would use propane as a feedstock to produce
solely propylene. Most of the propylene in the US is produce as a byproduct -
either by naphtha crackers or by fluid catalytic crackers at refineries.
At the same time, refiners are becoming less willing to supply propylene
to the chemical industry. Refineries use propylene as a feedstock to produce
alkylate, an octane-boosting blendstock for gasoline.
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