Dow Chemical Plans for Demolition at Seadrift Plant

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Researched by Industrialinfo.com (Industrial Information Resources, Incorporated; Houston, Texas). Dow Chemical Company (NYSE: DOW) (Midland, Michigan) has hired Earth Tech Incorporated (Long Beach, California) to perform dismantling and demolition services for the dismantlement of the Olefins 2 ethylene unit located at the Seadrift, Texas plant site. The 910 million pound per year Olefins 2 unit is tentatively scheduled to cease production permanently in the fourth quarter of this year as part of a plan to idle older inefficient production units and technology plus reduce NOx emissions.

Dow is planning to construct a new world-scale ethylene unit at this site within the next few years that would eventually replace this capacity. "This move will certainly influence supply of ethylene along the Gulf Coast but most producers have the opinion that there is enough capacity available to avoid any shortfalls while waiting for new capacity. Construction of new capacity by the year 2007 plays well with the timing for the next cyclical upturn in the industry," commented Trey Hamblet, Chemicals Group Manager with Industrialinfo.com.

The Olefins 1 ethylene unit was idled back in 1983. Demolition of this unit and other areas of the Seadrift site began several months ago and is nearing 50% complete.

Industrialinfo.com is tracking capital spending for NOx reduction projects and published a summary of NOx projects at chemical plants across the country listed by owner in an Industry Alert titled NOx Reduction Requirements Along the Gulf Coast Drive Capital Spending