MOSCOW (MRC) -- Sasol began production at the first of seven units at its giant Lake Charles chemical plant in the U.S, boosting shares in the South African petrochemical group, reported Reuters.
The plant in Louisiana, which will cut the company’s reliance on fuel, has an expected output of 1.5 million tonnes of ethylene, a chemical used in industries such as packaging, detergents and adhesives.
Sasol, whose main business transforming coal to liquid fuel helped apartheid-era South Africa side-step a 1980s oil embargo, expects the project to add USD1.3 billion to its annual core earnings, or EBITDA, in the 2022 fiscal year.
The company reported core earnings of 46 billion rand (USD3.32 billion) in the 2018 financial year. The capital expenditure on the project could top USD11.8 billion, Sasol said in profit guidance last week.
As MRC wrote previously, in June 2018, Honeywell announced that Secunda Synfuels Operations, an operating division of Sasol South Africa Ltd., will use a Honeywell Connected Plant service to monitor the operating reliability of its two Honeywell UOP CCR Platforming units at its refinery in Secunda, South Africa.
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