LyondellBasell Industries AF SCA has struck a deal with German technology firm Lurgi GmbH to develop a massive plastics and petrochemicals plant on the Caribbean island of Trinidad.
The deal which also includes local government and energy firms will allow Lurgi's MegaMethanol-brand and MTP-brand technologies to be used to create propylene feedstock for a 1 billion-pound-capacity polypropylene plant, set to open by 2012, on Trinidad.
``Our main goal is to establish a sustainable local and regional supply of polyolefins to the emerging local plastics industry,'' LyondellBasell Chief Executive Officer Volker Trautz said in a Sept. 8 news release.
LyondellBasell officials expect the South American PP market to grow at annual rate of more than 5 percent. The plant also is expected to serve some North American markets.
Advantages to the site include 600 billion cubic meters of proven natural gas reserves, available land and skilled labor. LyondellBasell, of Rotterdam, Netherlands, will be the first plastic resins producer located there. The firm ranks as the world's largest PP maker.
Lurgi, based in Frankfurt, operates worldwide in the areas of process engineering and plant contracting. The firm is a unit of Air Liquide Group of Paris.