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Released January 07, 2016 | SUGAR LAND
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Researched by Industrial Info Resources (Sugar Land, Texas)--The start of a new year means the beginning of another round of scheduled maintenance turnarounds in ethylene plants. Nearly one third of the 52 operational ethylene units located across North America are preparing for more than 660 days of planned down time during 2016. Additionally, an estimated 4.5 billion pounds of new ethylene capacity is scheduled to come online before the year ends; 2016 is destined to be a busy year for this sector of the chemical processing industry.
The most significant turnarounds planned so far include offline events for Westlake Petrochemicals (Houston, Texas) in the Sulphur, Louisiana plant and LyondellBasell Industries NV (NYSE:LYB) (Houston, TX) plant located in Corpus Christi, Texas. Westlake Petrochemicals has an 80-day maintenance event planned for the second quarter, in which the company will tie in an expansion and furnace addition to the 1.25 billion pound-per-year Petro 1 Ethylene unit. The projects are expected to add an estimated 250 million pounds per year of added capacity, bringing the unit to 1.5 billion pounds.
LyondellBasell also plans to complete a planned 90-day turnaround during the second quarter as it continues its plan to expand all three of the ethylene production plants in Texas. A debottleneck project, which is aimed at adding 800 million pounds per year of capacity at its Corpus Christi location, will be completed during the scheduled maintenance.
The Dow Chemical Company (NYSE:DOW) (Midland, Michigan) is completing upgrades to the ethylene plant located in Plaquemine, Louisiana, which will add 50 million to 100 million pounds of annual production this year. Additionally, Ingleside Ethylene LLC (Ingleside, Texas), a joint venture with Occidental Chemical Corporation (NYSE:OXY) (Houston, Texas), and Mexichem (Tlalnepantla, Mexico), plans to complete construction of a 1.2 billion pound-per-year ethylene unit located in Gregory, Texas by year's end. The startup of the plant would be the first in a wave of new ethylene plants currently in the construction phase.
Formosa Petrochemical Corporation (Mailiao, Taiwan); Total Petrochemicals & Refining USA Incorporated (Houston, Texas), a subsidiary of Total SA (NYSE:TOT) (Paris, France); and PTT Global Chemical PCL (Bangkok, Thailand) are among a handful of companies that are expected to reach a final investment decision in 2016 on whether to proceed with plans for grassroot ethylene plants in the U.S. Although unlikely, there is a possibility that construction could begin for one of these new plants, depending on when an authorization for expenditure (AFE) decision is reached.
LACC LLC (Seoul, South Korea), a joint venture between Lotte Chemical Corporation (Seoul) and minority partner Axiall Corporation (NYSE:AXLL) (Atlanta, Georgia), continues to prepare for construction of its recently approved 2.2 million pound-per-year plant in Westlake, Louisiana. Also, NOVA Chemicals Corporation (Calgary, Alberta), a subsidiary of International Petroleum Investment Company (Abu Dhabi, UAE), is looking to begin an expansion in the third quarter at its Corunna, Ontario Canada site, which will increase production by approximately 20%.
For related information, see December 22, 2015, article - Axiall, Lotte Plant Spearheads Second Wave of Ethylene Projects and August 24, 2015, article - Ethylene Industry: $15.6 Billion of North American 'Second Wave' Projects Hang in the Balance
Braskem-IDESA, a joint venture between Braskem (São Paulo, Brazil) and IDESA (Asturias, Spain), in partnership with with Brazilian conglomerate Odebrecht Organization (Salvador), is in the final commissioning stage of a grassroot petrochemical complex in Nanchital, Veracruz Mexico. The complex will produce 2,205 million pounds per year of ethylene once operations reach full capacity by the end of first-quarter 2016.
Industrial Info is tracking 107 ethylene related maintenance and capital projects in the U.S., Canada and Mexico worth about $61.57 billion.
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/.
The most significant turnarounds planned so far include offline events for Westlake Petrochemicals (Houston, Texas) in the Sulphur, Louisiana plant and LyondellBasell Industries NV (NYSE:LYB) (Houston, TX) plant located in Corpus Christi, Texas. Westlake Petrochemicals has an 80-day maintenance event planned for the second quarter, in which the company will tie in an expansion and furnace addition to the 1.25 billion pound-per-year Petro 1 Ethylene unit. The projects are expected to add an estimated 250 million pounds per year of added capacity, bringing the unit to 1.5 billion pounds.
LyondellBasell also plans to complete a planned 90-day turnaround during the second quarter as it continues its plan to expand all three of the ethylene production plants in Texas. A debottleneck project, which is aimed at adding 800 million pounds per year of capacity at its Corpus Christi location, will be completed during the scheduled maintenance.
The Dow Chemical Company (NYSE:DOW) (Midland, Michigan) is completing upgrades to the ethylene plant located in Plaquemine, Louisiana, which will add 50 million to 100 million pounds of annual production this year. Additionally, Ingleside Ethylene LLC (Ingleside, Texas), a joint venture with Occidental Chemical Corporation (NYSE:OXY) (Houston, Texas), and Mexichem (Tlalnepantla, Mexico), plans to complete construction of a 1.2 billion pound-per-year ethylene unit located in Gregory, Texas by year's end. The startup of the plant would be the first in a wave of new ethylene plants currently in the construction phase.
Formosa Petrochemical Corporation (Mailiao, Taiwan); Total Petrochemicals & Refining USA Incorporated (Houston, Texas), a subsidiary of Total SA (NYSE:TOT) (Paris, France); and PTT Global Chemical PCL (Bangkok, Thailand) are among a handful of companies that are expected to reach a final investment decision in 2016 on whether to proceed with plans for grassroot ethylene plants in the U.S. Although unlikely, there is a possibility that construction could begin for one of these new plants, depending on when an authorization for expenditure (AFE) decision is reached.
LACC LLC (Seoul, South Korea), a joint venture between Lotte Chemical Corporation (Seoul) and minority partner Axiall Corporation (NYSE:AXLL) (Atlanta, Georgia), continues to prepare for construction of its recently approved 2.2 million pound-per-year plant in Westlake, Louisiana. Also, NOVA Chemicals Corporation (Calgary, Alberta), a subsidiary of International Petroleum Investment Company (Abu Dhabi, UAE), is looking to begin an expansion in the third quarter at its Corunna, Ontario Canada site, which will increase production by approximately 20%.
For related information, see December 22, 2015, article - Axiall, Lotte Plant Spearheads Second Wave of Ethylene Projects and August 24, 2015, article - Ethylene Industry: $15.6 Billion of North American 'Second Wave' Projects Hang in the Balance
Braskem-IDESA, a joint venture between Braskem (São Paulo, Brazil) and IDESA (Asturias, Spain), in partnership with with Brazilian conglomerate Odebrecht Organization (Salvador), is in the final commissioning stage of a grassroot petrochemical complex in Nanchital, Veracruz Mexico. The complex will produce 2,205 million pounds per year of ethylene once operations reach full capacity by the end of first-quarter 2016.
Industrial Info is tracking 107 ethylene related maintenance and capital projects in the U.S., Canada and Mexico worth about $61.57 billion.
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/.
