Borealis AG, the Vienna-based chemical giant, is investing 160 million euros ($177.8 million) at its production site in Stenungsund, Sweden.
The company states the investment will see the upgrade and rejuvenation of four out of six of its cracker furnaces to the highest standards currently available, while the remaining two furnaces will be completely shut down due to age.
Borealis says its Stenungsund cracker has Europe's largest feedstock storage capacity.
Last year, Borealis announced a multi-million investment in an upgrade of the cracker and the construction of an ethane storage tank to store ethane imports from the U.S. and Europe.
“Our Stenungsund cracker operations are a key strategic asset and major contributor to our success. This investment program is especially beneficial, enabling us to secure improved reliability and operability whilst reducing plant complexity and maintenance requirements,” said CEO Mark Garrett in a news release.
Borealis currently employs around 6,500 people, operates in over 120 countries and saw sales of 8.3 billion euros ($9.2 billion) in 2014.
In addition, the Borealis announced an extended agreement with plastics distribution company Nexeo Solutions to target the rigid and flexible packaging and fiber markets as well as the auto, medical and infrastructure industries.
The distribution strategy will target growth in key European regions such as Germany, France, the Benelux countries and the United Kingdom, and enable what it called “continuous improvement in service.”
Borealis and Nexeo Solutions — formerly a part of Ashland until 2011 — entered into Europe's first pan-European polyolefin distribution partnership in 1996 with the distribution of Borealis polyethylene and polypropylene products.
In 2012, Borealis and Nexeo joined forces to distribute products in North America.