MOSCOW (MRC) -- LyondellBasell, one of the major petrochemical global producers and the world's largest maker of polypropylene, will raise its ethylene capacity in North America by 18% in coming years through several debottlenecking projects, reported Hydrocarbonprocessing with reference to LyondellBasell's CEO.
Locations where ethylene capacity will be expanded include crackers in Corpus Christi, La Porte and Channelview, Texas, according to the company. The projects are scheduled to be finished in 2014 and 2015.
Jim Gallogly, CEO of LyondellBasell, said the company aims to finish its projects two-to-three years earlier than industry competitors building new plants, all at a lower cost.
Gallogly said he expects ethane to stay price-advantaged in the US for at least the next five years. He noted that natural gas producers are still incentivized to produce wet gas and, as a result, LyondellBasell plans to raise its ability to crack natural gas liquids (NGLs) from 85% to 90%.
LyondellBasell also said it was "in the early stages" of evaluating a 1 million lb/year polyethylene (PE) plant in North America by 2016.
Overall, the company plans to invest USD1.6 billion in growth capital expenditures (CAPX) over the next four years, adding over USD1.5 billion/year in new earnings by 2017.
Aside from the North American ethylene debottlenecks, proposed projects also include a methanol restart in the US and a butadiene expansion in Germany.
LyondellBasell Industries NV is a manufacturing company. The Company produces chemicals, fuels, and polymers used for packaging, clean fuels, durable textiles, medical applications, construction materials, and automotive parts. LyondellBasell Industries operates globally and is headquartered in the Netherlands. LyondellBasell is also a leading licensor of polypropylene and polyethylene technologies. The more than 250 polyolefin process licenses granted by LyondellBasell are twice that of any other polyolefin technology licensor.
A number of large chemical companies have chosen LyondellBasell's technology for their production processes. Thus, the largest coal company in the world, China Shenhua Coal to Liquid and Chemical Co. selected the LyondellBasell Lupotech T process technology for a 270 KT per year low density polyethylene (LDPE) plant to be built in Xinjiang, China. Then, PETRONAS chose the Spheripol technology from LyondellBasell for two 300 KTA polypropylene (PP) units to be located in Pengerang, Malaysia. Besides, ZapSibNeftekhim L.L.C, a fully owned subsidiary of SIBUR, decided to select the Spheripol process technology from LyondellBasell for a new 500 KT per year single-line polypropylene (PP) plant to be built in Tobolsk, Russia Federation.
MRC