NOVA Chemicals' New LLDPE Unit Points to More Potential for Polyethylene-Related Growth

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Researched by Industrial Info Resources (Sugar Land, Texas)--NOVA Chemicals (Calgary, Alberta) is eyeing a slate of growth projects across Canada following its recent startup of a linear low-density polyethylene (LLDPE) gas-phase reactor at a complex in Alberta, which boosts the company's LLDPE production capacity by nearly 1 billion pounds per year. Other projects are expected to continue enhancing the company's polyethylene capacity, including further unit additions. Industrial Info is tracking $2.14 billion in active projects involving NOVA.

In a press release, NOVA officials noted that last month's completion of the $1 billion PE1 polyethylene unit expansion at its complex in Joffre, Alberta, marks the first new LLDPE reactor in the Americas in more than a decade. NOVA says the new capacity allows it to meet the growing demand for flexible films used in everyday products such as food packaging, heavy-duty sacks and can liners. The company's total polyethylene production capacity now stands at about 5 billion pounds per year. For more information, see Industrial Info's project report on the PE1 unit.

"The new supply of LLDPE from our PE1 expansion project will enhance NOVA Chemicals' position as a leading polyethylene supplier in the Americas, helping our customers grow and succeed in their businesses," said Chris Bezaire, the senior vice president for the Polyethylene business, in a press release.

Also at the Joffre site, NOVA's $55 million refurbishment of the E2 furnaces is under construction. The company will refurbish five of the 11 furnaces to increase process yields and perform end-of-life replacements and modifications in the 1.8 billion-pound-per-year E2 ethylene unit. NOVA also is looking at a proposed second-phase refurbishment, which could tend to four of the remaining furnaces. For more information, see Industrial Info's project reports on the ongoing and proposed refurbishments.

NOVA has several other projects in various stages of development across Canada. The bulk are in Ontario, where the company is carefully weighing a proposed polyethylene unit addition at the complex in St. Clair Township. NOVA initially proposed the new unit in 2011; last year, the company's board of directors decided to continue engineering work on the project. A representative from the company told The Observer in September that it expects to have a final investment decision from the board of directors sometime this year, with startup targeted for 2022. For more information, including current specifications and contact information, see Industrial Info's project report.

NOVA also is at work on $350 million in upgrades, conversions and debottlenecks at its petrochemical complex in Corunna, Ontario. At the facility's 2.1 billion-pound-per-year ethylene unit, which converted from a naphtha to an NGL feedstock last year, the company is progressing toward a feedstock that is able to fully process ethane, while debottlenecking the back-half of the production unit. At the same unit, NOVA is planning a $40 billion cold-box replacement, which would include supporting utility tie-ins during the next maintenance turnaround.

Also at Corunna, NOVA is considering an expansion of the ethylene unit, which would boost capacity to support the proposed polyethylene unit in St. Claire. For more information, see Industrial Info's project reports on the upgrade-related work, the cold-box replacement and the ethylene expansion.

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