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Pakistani Engro plans construction of propane dehydrogenation unit and PP production

April 12/2021

MOSCOW (MRC) - Pakistani company Engro Corp will spend USD31.4 million on design, engineering and technical studies for the proposed propane dehydrogenation unit and polypropylene (PP) production, the company said.

"This is in continuation to our letter to the PSX dated April 26, 2019, in relation to the companys intent to explore investment opportunities in the petrochemical sector and the approval by the Board of Directors of the company (the Board) for commencement of a study in relation to a polypropylene facility based on propane dehydrogenation (PDH-PP Project),"  the company said in a statement to the bourse.

Engro said that its Board in its meeting held on April 8th, 2021, has approved an amount of up to USD 31,400,000 towards conducting engineering, design and technical studies including a Front End Engineering Design (FEED) study in relation to the PDH-PP Project.

"The results of these studies, when completed, are expected to inform the final investment decision in relation to this project, which decision will also be based on a conducive policy environment and arranging the right mix of debt and equity partners at such time," the company added.

Earlier it was reported that Pakistani Nimir Chemicals resumed production of phthalic anhydride in Bhikki, Pakistan on January 7 after scheduled repairs. This production with a capacity of 30 thousand tons of phthalic anhydride was closed on December 24 last year. The company closed its two-line plant for regular maintenance during this period, a company source said.

Propylene is the main component for the production of polypropylene (PP).

According to the ScanPlast review by MRC, the total PP production in Russia increased by 8% in the first two months of this year compared to the same indicator in 2020 and amounted to about 350 thousand tons. All manufacturers, except for Nizhnekamskneftekhim, have increased their operating time.

Engro Corp, a fertilizer and petrochemicals manufacturer in Pakistan, is the largest listed conglomerate in the country.
Author:Anna Larionova
Tags:PP, PP block copolymer, homopolymer PP, PP random copolymer, polyurethane foam, propane, propylene, Pakistan.
Category:General News
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