HOUSTON (July 11, 2:35 p.m. ET) — Resin supplier M&G Group plans to build new PET and purified terephthalic acid plants in Corpus Christi, Texas.
The company had announced plans on May 11 to build a single-reactor plant in the southern United States, but at the time the company said it had narrowed down the location to sites in Texas, Mississippi or Louisiana.
The company announced that it had picked Corpus Christi on July 11.
“Corpus Christi is an excellent strategic home for what will be M&G's largest-ever investment. It has exceptional highway, deep-water and rail access, including three Class 1 railroads,” said Marco Ghisolfi, CEO of M&G's Polymers Business Unit, in a news release.
The plant will use the same technologies as M&G's single-reactor PET plant in Suape, Brazil, which has annual capacity of 650,000 metric tons.
The plant will have capacity to make 2.2 billion pounds of PET and 2.6 billion pounds of PTA plant annually, and it will employ 250.
According to M&G, the supply/demand picture for PET is balanced now after several North American plants have closed or been sold in the past few years and demand growth recovered from the recession.
Construction time for both the PET and PTA plants is estimated to be 30 months.
M&G Group is a family-owned company based in Tortona, Italy.