Mexican-Dutch polypropylene joint venture Indelpro is considering building a third production line in Mexico, according to a senior source at the company.
``We are thinking of a third line, but I don't think this will happen right away,'' the source said, adding such a project was probably two or three years away.
Indelpro, a joint venture between Basell Polyolefins North America, headquartered in Wilmington, Del., and Alpek, the petrochemicals division of Garza García-based Alfa Group, already operates a 529,000-pound-per-year line at the Altamira petrochemicals port on Mexico's Gulf coast.
A second, 771,600-pound line, representing an investment of about $200 million, is scheduled to go on-stream in April at Altamira, which is adjacent to the port of Tampico, said Alejandro Alanís, Indelpro's marketing manager.
The Mexican market is 1.98 million pounds, Alanís said, adding that Indelpro's share is 25 percent. The shortfall is made up by imports from producers in the U.S., as Indelpro is Mexico's only PP resin producer, Alanís said.
Indelpro sells its PP products under the same trademarks as Basell. This includes Profax, Valtec and Moplen.