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Released March 30, 2017 | SUGAR LAND
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Researched by Industrial Info Resources (Sugar Land, Texas)--The Dow Chemical Company (NYSE:DOW) (Midland, Michigan) has completed mechanical construction on one of its most anticipated projects, an ethylene production unit that is expected to feed more than $6 billion in projects planned along the U.S. Gulf Coast. Industrial Info is tracking more than $4.8 billion in active projects involving Dow, almost 80% of which are located in Texas and Louisiana.
Dow's $1.7 billion LHC-9 (Texas 9) unit addition at the Oyster Creek Chemical complex in Freeport, Texas, is expected to produce roughly 3 billion pounds of ethylene per year. It is expected to begin full operations this summer. For more details, including contact information and scheduling, see Industrial Info's project report.
The LHC-9 unit is slated to begin production around the same time Dow expects to complete its merger with E.I. du Pont de Nemours and Company (NYSE:DD) (DuPont) (Wilmington, Delaware), which has been approved by the European Union but is awaiting an OK from the U.S. Department of Justice. For more information, see March 28, 2017, article - Dow-DuPont Merger Clears Regulatory Hurdle in Europe.
"The Freeport ethylene unit is the cornerstone of our $6 billion investment in the U.S. Gulf Coast," said Andrew Liveris, Dow's chairman and chief executive officer, in a press release. "Our growth investments leverage the advantaged shale gas supply available in the U.S., and represent thousands of new jobs and significant economic value, including exports of approximately 20% of our U.S. production."
The new facility will provide feedstock for Dow's derivative investments along the U.S. Gulf Coast, many of which are set to be brought online between now and the end of 2018. These include the $400 million addition of a linear low-density polyethylene (LLDPE) unit in Freeport, which is designed to produce 650,000 metric tons per year of the company's ELITE Enhanced Polyethylene product for high-performance, flexible food packaging and personal hygiene applications. For more information, see Industrial Info's project report.
The LHC-9 unit also is expected to feed the $450 million low-density polyethylene (LDPE) unit in Plaquemine, Louisiana, which has been under construction since mid-2014 and is expected to wrap up later this year. The unit, called Poly D, is expected to produce 500 million to 550 million pounds per year of LDPE for industrial and supply-chain packaging. For more information, see Industrial Info's project report.
Also in Plaquemine, Dow is set to complete the $450 million addition of an Ethylene Propylene Diene Monomer (EPDM) train. The LHC-9 unit will feed the production of EPDM products such as NORDEL brand Metallocene, which is used in the transportation, infrastructure and durable-goods markets. For more information, see Industrial Info's project report.
Doug May, Dow's business president for its Hydrocarbons division, said the Freeport site now has more than 4 million metric tons of olefins capacity "to provide low-cost integration strength to our targeted high-growth derivatives."
Industrial Info is tracking more than $175 billion in active, ethylene-related projects in Texas and Louisiana alone; for more information, see January 4, 2017, article - The Year Ahead: Ethylene, PDH Capital Projects to Proliferate.
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/.
Dow's $1.7 billion LHC-9 (Texas 9) unit addition at the Oyster Creek Chemical complex in Freeport, Texas, is expected to produce roughly 3 billion pounds of ethylene per year. It is expected to begin full operations this summer. For more details, including contact information and scheduling, see Industrial Info's project report.
The LHC-9 unit is slated to begin production around the same time Dow expects to complete its merger with E.I. du Pont de Nemours and Company (NYSE:DD) (DuPont) (Wilmington, Delaware), which has been approved by the European Union but is awaiting an OK from the U.S. Department of Justice. For more information, see March 28, 2017, article - Dow-DuPont Merger Clears Regulatory Hurdle in Europe.
"The Freeport ethylene unit is the cornerstone of our $6 billion investment in the U.S. Gulf Coast," said Andrew Liveris, Dow's chairman and chief executive officer, in a press release. "Our growth investments leverage the advantaged shale gas supply available in the U.S., and represent thousands of new jobs and significant economic value, including exports of approximately 20% of our U.S. production."
The new facility will provide feedstock for Dow's derivative investments along the U.S. Gulf Coast, many of which are set to be brought online between now and the end of 2018. These include the $400 million addition of a linear low-density polyethylene (LLDPE) unit in Freeport, which is designed to produce 650,000 metric tons per year of the company's ELITE Enhanced Polyethylene product for high-performance, flexible food packaging and personal hygiene applications. For more information, see Industrial Info's project report.
The LHC-9 unit also is expected to feed the $450 million low-density polyethylene (LDPE) unit in Plaquemine, Louisiana, which has been under construction since mid-2014 and is expected to wrap up later this year. The unit, called Poly D, is expected to produce 500 million to 550 million pounds per year of LDPE for industrial and supply-chain packaging. For more information, see Industrial Info's project report.
Also in Plaquemine, Dow is set to complete the $450 million addition of an Ethylene Propylene Diene Monomer (EPDM) train. The LHC-9 unit will feed the production of EPDM products such as NORDEL brand Metallocene, which is used in the transportation, infrastructure and durable-goods markets. For more information, see Industrial Info's project report.
Doug May, Dow's business president for its Hydrocarbons division, said the Freeport site now has more than 4 million metric tons of olefins capacity "to provide low-cost integration strength to our targeted high-growth derivatives."
Industrial Info is tracking more than $175 billion in active, ethylene-related projects in Texas and Louisiana alone; for more information, see January 4, 2017, article - The Year Ahead: Ethylene, PDH Capital Projects to Proliferate.
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/.
