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MOSCOW (MRC) -- Sasol has
announced that its world-scale US ethane cracker reached beneficial
operation on 27 August 2019, as per the company's press release.
Sasol’s
new cracker, the heart of our Lake Charles Chemicals Project (LCCP), is the
third and most significant of the seven LCCP facilities to come online and will
provide feedstock to our six new derivative units at our Lake Charles
multi-asset site.
"The Cracker is the cornerstone of Sasol’s
transformation into a global chemicals company," said Sasol Joint President and
Chief Executive Officer Stephen Cornell. "It solidifies our presence in the
United States and will anchor our operations there for decades to
come."
Sasol’s Lake Charles Ethane Cracker, which uses Technip Stone
& Webster technology, is one of the largest in the world with a nameplate
capacity of 1.54 million tons per year. Approximately 90% of the Cracker's
ethylene output will be further processed into commodity and high-margin
specialty chemicals for markets in which Sasol has a strong position,
underpinned by collaborative customer relationships.
The ethylene
produced in the facility will be used in six downstream plants on site to
produce a range of high-value derivatives including ethylene oxide,
mono-ethylene glycol, ethoxylates, low density and linear low density
polyethylene, and Ziegler and Guerbet alcohols. Sasol’s customers use these
products as ingredients in detergents, fragrances, metalworking and lubrication
fluids, abrasives, paints and coatings, film, food packaging, personal care
products and many more applications and end-markets. The remaining 10% of the
ethylene will be sold on the merchant market and supply Sasol’s share of our
high-density polyethylene (HDPE) joint venture with INEOS in Texas.
The
utilities and infrastructure systems that enable the entire project are fully
operational. The Linear Low Density Polyethylene and Ethylene Oxide/Ethylene
Glycol units achieved beneficial operation earlier this year. The Low Density
Polyethylene unit is expected to achieve beneficial operation by November 2019,
while the Ziegler Alcohol, Ethoxylates and Guerbet alcohol units are on track to
achieve beneficial operation in early 2020.
"With the first three units
commissioned, plants representing more than 60% of the project’s total output
are now online," said Sasol Joint President and Chief Executive Officer Bongani
Nqwababa. "Our construction and commissioning teams are working flat out to
deliver the rest of the units between November 2019 and by first quarter of
2020."
At present the Cracker continues to operate stably at a capacity
utilisation of around 50%. The current output is utilised by the LCCP’s
downstream units and the remainder is sold to external customers. The company
will continue to focus on improving the ethylene quality and ramp up the plant
in accordance with our plans.
To date, the project has generated more
than 800 full-time quality manufacturing jobs, with up to 6,500 people on site
during construction, USD4 billion to Louisiana businesses and nearly USD200
million in local and state taxes.
Ethylene and propylene are feedstocks
for producing polyethylene (PE) and polypropylene (PP).
According to MRC's ScanPlast report,
Russia's estimated PE consumption totalled 1,255,800 tonnes in the first seven
months of 2019, up by 9% year on year. Shipments of all PE grades increased. At
the same time, the estimated PP consumption in the Russian market was 796,120
tonnes in January-July 2019, up by 11% year on year. Shipments of PP block
copolymer and homopolymer PP increased.
Sasol is an international
integrated chemicals and energy company that leverages technologies and the
expertise of our 31 270 people working in 32 countries. The company develops and
commercialises technologies, and builds and operates world-scale facilities to
produce a range of high-value product stream, including liquid fuels,
petrochemicals and low-carbon electricity. |
