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Borealis holds groundbreaking ceremony for its new world-scale plant in Kallo, Belgium

September 11/2019

MOSCOW (MRC) -- Borealis held the groundbreaking ceremony on 9 September for its new, world-scale propane dehydrogenation (PDH) plant, said the company.

Located at the existing Borealis production site in Kallo, Belgium, the new facility will have a targeted production capacity of 750,000 metric tonnes per year of propylene, making it one of the largest and most efficient plants of its kind in the world. With a total of around EUR 1 billion invested in the course of the project, the investment is the largest ever made by Borealis in Europe. It underscores the companys commitment to its operations on the Continent, and to being the supplier of choice to its European customers.

PDH is a vital process step in the production of propylene from propane. As one of the most important building blocks for the entire chemical industry, propylene is the raw material used to produce polypropylene (PP), which in turn is one of the most widely used plastics. PP forms the base of countless industrial applications used in any number of sectors, including automotive, consumer goods, energy, food packaging, healthcare, and many others.

European demand for propylene is growing, yet presently, supply is decreasing due to a confluence of global market developments. The start-up of the new Kallo plant, scheduled for the middle of 2022, means that European customers will soon be able to rely on the secure supply of competitively priced propylene and its derivatives.

Several factors influenced the Borealis decision to invest in the Kallo location. First, the economies of scale offered by the Port of Antwerp in Flanders are significant due to its well-established transportation and logistics infrastructure. Thanks to the adjacency to an existing Borealis production unit on site, Borealis will be able to exploit additional synergistic effects. Crucially, the new PDH plant will employ Honeywell UOPs Oleflex technology, a widely used, reliable and sustainable choice for on-purpose propylene production.

Above and beyond the increase in production capacity, the new plant is helping make Borealis operations become more efficient and sustainable. Using the Oleflex technology makes it possible to consume less energy in production, yet produce higher volumes of the same quality. Less propane will be required, but more own hydrogen will be produced, enabling Borealis to supply not only its own internal needs, but those of third parties as well. Finally, the embedded, multi-fuel cogeneration unit in the new PDH plant will generate a significant part of the steam and electricity required for operations.

Propylene is a feedstock for producing polypropylene (PP).

According to MRC's ScanPlast report, Russia's  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.

Borealis is a leading provider of innovative solutions in the fields of polyolefins, base chemicals and fertilizers. With its head office in Vienna, Austria, the company currently has more than 6,800 employees and operates in over 120 countries. Borealis generated EUR 8.3 billion in sales revenue and a net profit of EUR 906 million in 2018. Mubadala, through its holding company, owns 64% of the company, with the remaining 36% belonging to Austria-based OMV, an integrated, international oil and gas company. Borealis provides services and products to customers globally, in collaboration with Borouge, a joint venture with the Abu Dhabi National Oil Company (ADNOC) and with Baystar, a joint venture with Total and NOVA Chemicals in Texas, USA.


mrcplast.com
Author:Anna Larionova
Tags:PP, PP block copolymer, homopolymer PP, PP random copolymer, propane, propanol, Borealis, Belgium.
Category:General News
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