Chevron Phillips breaks ground on PE resin plants

By Frank Esposito
Senior Staff Reporter

Published: June 18, 2014 2:50 pm ET
Updated: June 18, 2014 2:54 pm ET

Image By: Chevron Phillips Chemical Co. LP Chevron Phillips Chemical Co. LP will bring 3.3 billions pounds of additional annual polyethylene production on line when it completes construction of its new plants in Old Ocean, Texas.

Related to this story

Topics Materials, Materials Suppliers
Companies & Associations Chevron Phillips Chemical Co. LP

Chevron Phillips Chemical Co. LP has broken ground for two new polyethylene units in Old Ocean, Texas, that will have combined annual production capacities of more than 2 billion pounds.

The firm — based in The Woodlands, Texas — broke ground at a June 17 ceremony that was attended by company officials, as well as representatives from the nearby cities of Sweeny and West Columbia, Brazoria County and the state of Texas.

With the ground breaking, Chevron Phillips “maintains its first-mover position within the petrochemicals industry to engineer and build world-scale ethylene and derivatives facilities in the U.S., based on the successful development of shale resources,” company officials said in a news release.

President and CEO Peter Cella added that, with the construction of what he called “this mega-project,” Chevron Phillips “will be in a position to better serve the growing needs of our customers around the globe.”

Both the two new PE units and a 3.3-billion-pound-per-year capacity ethylene cracker at the site are scheduled to be operational in 2017. The company said the project will create 400 full-time jobs and 10,000 temporary construction jobs. It also will call for the installation of 45 miles of new railroad track.

PE made at the Old Ocean site is expected to be used in flexible packaging, plastic pipe, merchandise bags and similar applications. PE makers including ExxonMobil Chemical Co., Dow Chemical Co. and Formosa Plastics Corp. USA also are adding capacity because of newfound supplies of natural gas feedstock throughout North America.

These and other projects are expected to increase the region’s total annual PE production capacity by at least 25 percent by 2020, according to industry estimates.


Comments

Chevron Phillips breaks ground on PE resin plants

By Frank Esposito
Senior Staff Reporter

Published: June 18, 2014 2:50 pm ET
Updated: June 18, 2014 2:54 pm ET

Post Your Comments


Back to story


More stories

Image

Prices trending up for some recycled resins

July 24, 2014 1:27 pm ET

Plastics News is correcting prices for recycled grades of several commodity resins on this week's resin pricing chart.    More

Meredian merging with Danimer Scientific

July 24, 2014 1:59 pm ET

Bioplastics maker Meredian Inc. is merging with its sister firm, Danimer Scientific LLC.    More

Image

US Bioplastics receives funding to bring Gatoresin to the market

July 24, 2014 1:44 pm ET

Materials maker U.S. Bioplastics is hoping its Gatoresin product will take a bite out of the bioplastics market, thanks to funding from a state...    More

Image

BASF posts growth in second quarter

July 24, 2014 11:08 am ET

German chemical giant, BASF SE, has announced a 1 percent growth in sales for the second quarter of 2014 compared to the same period in...    More

Image

Bayer PC used for lightweight, durable luggage collection

July 24, 2014 10:52 am ET

Bayer MaterialScience has partnered with U.S.-based travel goods manufacturer Andiamo Luggage LLC to create a special plastic for suitcases that is sc...    More

Market Reports

Injection Molders Market Report & Ranking 2014

This special package contains our 132-page 2014 Market Report on the Injection Molding segment and our exclusive 2014 RANKINGS database of 500+ Injection Molders for a discounted package price.

Learn more

Plastics Recycling Market Review & Outlook 2014

This special report from Plastics News examines the North American plastics recycling industry and provides insight into indicators that impact market viability, including Resin pricing trends for virgin and recycled market material and historical Resin production trends for post- consumer and industrial waste.

Learn more

Shale Gas Market - Analysis of North American Region

This report highlights the impact of shale-based natural gas on the North American plastics market and features an in-depth analysis of production trends in the United States during 2013 and a forecast for 2014 and beyond.

Learn more

Upcoming Plastics News Events

September 10, 2014 - September 12, 2014Plastics Caps & Closures 2014

February 4, 2015 - February 6, 2015Plastics News Executive Forum 2015

More Events