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Released April 20, 2017 | SUGAR LAND
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Researched by Industrial Info Resources (Sugar Land, Texas)--It's official: San Patricio County in Texas is the location of the proposed Exxon Mobil Corporation (NSYE:XOM) (Irving, Texas) and SABIC (Riyadh, Saudi Arabia) ethylene complex, which will feed a monoethylene glycol unit and two polyethylene units. Industrial Info has been tracking the proposed projects since summer 2016.
Still subject to financial approval, the San Patricio County complex is part of a wave of ethylene projects planned for the Gulf Coast area, as inexpensive natural gas from shale formations becomes a primary feedstock for ethylene production. Other companies planning ethylene build-outs in the Gulf Coast region include Total Petrochemicals & Refining USA (Houston, Texas), which is building a 2.2 billion-pound-per-year ethane cracker in Port Arthur, Texas, and Formosa Plastics, which is building a production complex in Saint James Parish, Louisiana, which includes a planned 2.2 billion-pound-per-year ethylene unit. For more information, see January 4, 2017, article - The Year Ahead: Ethylene, PDH Capital Projects to Proliferate.
ExxonMobil and SABIC are expected to select an engineering, procurement and construction (EPC) firm for the project later this year. Construction of the main ethylene unit, which will have a production capacity of 1.8 million tonnes of ethylene per year, is planned to kick off in summer of 2020 and be completed in early 2024. The construction of the monoethylene glycol unit and one of the polyethylene units will occur during the same time, followed by a second polyethylene unit about a year later. For more information, see industrial Info's project reports on the ethylene production unit, the monethylene glycol unit, and the first and second polyethylene units.
With site selection completed, ExxonMobil and SABIC will now apply for the necessary permits from the Texas Commission on Environmental Quality. Each company will make a final decision on the investment after the required permits have been granted. The two companies have worked together on joint ventures in Saudi Arabia, and this project represents their first U.S. joint venture.
Among ExxonMobil's other projects on the U.S. Gulf Coast is the 3 billion-pound-per-year ethylene unit in Baytown, Texas. The project began construction in summer of 2014 and is expected to be completed this summer. Bechtel Corporation (San Francisco, California) and Linde Engineering North America Incorporated (Blue Bell, Pennsylvania) are acting as EPC firms on the project. For more information, see Industrial Info's project report.
Also in Texas' Gulf Coast region is a polyethylene unit being constructed in Beaumont. The unit, being constructed next to an existing polyethylene plant, will produce 1.43 billion pounds or more of low-density polyethylene. Construction kicked off late last year and is expected to be completed in early 2019. For more information, see Industrial Info's project report.
Among the largest Gulf Coast ethylene projects being tracked by Industrial Info is Sasol Limited's (NYSE:SSL) (Johannesburg, South Africa) massive Lake Charles Chemical Project in Louisiana, which will include a 1.5 million-ton-per-year ethane cracker and six downstream units. The project remains on track for a startup in the second half of 2018.
Dow Chemical Company recently completed mechanical production on an ethylene production unit in Freeport, Texas, that is expected to feed more than $6 billion in projects along the U.S. Gulf Coast and is expected to produce roughly 3 billion pounds of ethylene per year. For more information, see March 30, 2017, article - Dow Chemical Readies New Ethylene Unit to Feed U.S. Gulf Coast Projects.
In February, the 1.2 billion-pound-per-year Ingleside Ethylene, LLC, ethane cracker started production. Located at Occidental Chemical Corporation's (Oxychem) Ingleside complex, the cracker is part of a 50/50 joint venture between Oxychem and Mexichem, S.A.B. de C.V. For related information, read February 2, 2017, article - Ingleside Ethylene Enters Start-Up, Leads Massive Jump in New U.S. Capacity for 2017.
"Within just the last few weeks we have witnessed the startup of the Ingleside project, mechanical completion by Dow Chemical, financial approval by Total and confirmation of site selection by Exxon. Each of these activities taking place all within just weeks of each other continues to demonstrate the level of confidence there is in the future capacity being proposed," said Trey Hamblet, Industrial Info's vice president of research for the Chemical Processing Industry.
For related information, see April 20, 2017, article - CB&I Looks to $3 Billion in Project Completions in 2017, Adds Ethane Cracker to Gulf Coast Slate.
The Gulf Coast continues to be a solid winner in project activity for the Chemicals Industry. This is fueled mainly from inexpensive natural gas being fed from such formations as the Permian Basin and Eagle Ford. In many cases, the natural gas produced, and hence ethane used for ethylene production, is a byproduct of drilling primarily intended for oil, but with financial benefits to the drillers, and a large boon to chemical producers using natural gas as feedstock.
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, five offices in North America and 10 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn. For more information on our coverage, send inquiries to info@industrialinfo.com or visit us online at http://www.industrialinfo.com.
Still subject to financial approval, the San Patricio County complex is part of a wave of ethylene projects planned for the Gulf Coast area, as inexpensive natural gas from shale formations becomes a primary feedstock for ethylene production. Other companies planning ethylene build-outs in the Gulf Coast region include Total Petrochemicals & Refining USA (Houston, Texas), which is building a 2.2 billion-pound-per-year ethane cracker in Port Arthur, Texas, and Formosa Plastics, which is building a production complex in Saint James Parish, Louisiana, which includes a planned 2.2 billion-pound-per-year ethylene unit. For more information, see January 4, 2017, article - The Year Ahead: Ethylene, PDH Capital Projects to Proliferate.
ExxonMobil and SABIC are expected to select an engineering, procurement and construction (EPC) firm for the project later this year. Construction of the main ethylene unit, which will have a production capacity of 1.8 million tonnes of ethylene per year, is planned to kick off in summer of 2020 and be completed in early 2024. The construction of the monoethylene glycol unit and one of the polyethylene units will occur during the same time, followed by a second polyethylene unit about a year later. For more information, see industrial Info's project reports on the ethylene production unit, the monethylene glycol unit, and the first and second polyethylene units.
With site selection completed, ExxonMobil and SABIC will now apply for the necessary permits from the Texas Commission on Environmental Quality. Each company will make a final decision on the investment after the required permits have been granted. The two companies have worked together on joint ventures in Saudi Arabia, and this project represents their first U.S. joint venture.
Among ExxonMobil's other projects on the U.S. Gulf Coast is the 3 billion-pound-per-year ethylene unit in Baytown, Texas. The project began construction in summer of 2014 and is expected to be completed this summer. Bechtel Corporation (San Francisco, California) and Linde Engineering North America Incorporated (Blue Bell, Pennsylvania) are acting as EPC firms on the project. For more information, see Industrial Info's project report.
Also in Texas' Gulf Coast region is a polyethylene unit being constructed in Beaumont. The unit, being constructed next to an existing polyethylene plant, will produce 1.43 billion pounds or more of low-density polyethylene. Construction kicked off late last year and is expected to be completed in early 2019. For more information, see Industrial Info's project report.
Among the largest Gulf Coast ethylene projects being tracked by Industrial Info is Sasol Limited's (NYSE:SSL) (Johannesburg, South Africa) massive Lake Charles Chemical Project in Louisiana, which will include a 1.5 million-ton-per-year ethane cracker and six downstream units. The project remains on track for a startup in the second half of 2018.
Dow Chemical Company recently completed mechanical production on an ethylene production unit in Freeport, Texas, that is expected to feed more than $6 billion in projects along the U.S. Gulf Coast and is expected to produce roughly 3 billion pounds of ethylene per year. For more information, see March 30, 2017, article - Dow Chemical Readies New Ethylene Unit to Feed U.S. Gulf Coast Projects.
In February, the 1.2 billion-pound-per-year Ingleside Ethylene, LLC, ethane cracker started production. Located at Occidental Chemical Corporation's (Oxychem) Ingleside complex, the cracker is part of a 50/50 joint venture between Oxychem and Mexichem, S.A.B. de C.V. For related information, read February 2, 2017, article - Ingleside Ethylene Enters Start-Up, Leads Massive Jump in New U.S. Capacity for 2017.
"Within just the last few weeks we have witnessed the startup of the Ingleside project, mechanical completion by Dow Chemical, financial approval by Total and confirmation of site selection by Exxon. Each of these activities taking place all within just weeks of each other continues to demonstrate the level of confidence there is in the future capacity being proposed," said Trey Hamblet, Industrial Info's vice president of research for the Chemical Processing Industry.
For related information, see April 20, 2017, article - CB&I Looks to $3 Billion in Project Completions in 2017, Adds Ethane Cracker to Gulf Coast Slate.
The Gulf Coast continues to be a solid winner in project activity for the Chemicals Industry. This is fueled mainly from inexpensive natural gas being fed from such formations as the Permian Basin and Eagle Ford. In many cases, the natural gas produced, and hence ethane used for ethylene production, is a byproduct of drilling primarily intended for oil, but with financial benefits to the drillers, and a large boon to chemical producers using natural gas as feedstock.
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, five offices in North America and 10 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn. For more information on our coverage, send inquiries to info@industrialinfo.com or visit us online at http://www.industrialinfo.com.