07-03-2012
Dow’s world-scale propylene production unit investment receives initial board authorization
The Dow Chemical Company announced today that its Board of Directors has authorized capital to finalize detailed engineering and purchase long lead-time equipment for a new, world-scale propylene production facility to be constructed at Dow Texas Operations.
This represents the latest move in the Company’s comprehensive strategy to increase its ethylene and propylene production and connect its operations with low-cost feedstock opportunities available from increasing supplies of U.S. shale gas.
“This authorization marks yet another significant milestone in Dow’s comprehensive plan to create competitive advantage for our downstream Performance Materials and Advanced Materials businesses by further connecting our U.S. operations with cost-advantaged feedstocks,” said Jim Fitterling, executive vice president of Dow and president of Feedstocks & Energy and Corporate Development. “This investment directly supports Dow’s transformational strategy to enhance its feedstock flexibility and integration strength, and positions the Company for growth in attractive markets and geographies.”
Basic engineering work for the new on-purpose propylene production facility at Dow Texas Operations has commenced, and the project is on track for production start-up in 2015.
In December 2011, Dow and UOP LLC, a Honeywell company, signed a technology licensing agreement, enabling on-purpose propylene production at the facility. Under the terms of this agreement, Dow will license UOP's proprietary UOP C3 Oleflex TM process technology for manufacturing on-purpose propylene from propane. Dow also signed catalyst supply and performance guarantee agreements with UOP.
On-purpose propylene production from propane will create better economic value for Dow compared with high-priced purchased propylene.
“The availability of cost-advantaged feedstocks from U.S. shale gas developments represents a value-creating opportunity for our downstream businesses, and Dow is capitalizing on this,” said Brian Ames, vice president of Olefins, Aromatics and Alternatives. “Our Company was among the first in our industry to declare a comprehensive plan to take advantage of the increasing supplies of U.S. natural gas liquids, and we remain on track to implement that plan, which will create thousands of domestic jobs.”
The project is expected to create 1,300 jobs at its construction peak. When taken in context with Dow’s comprehensive USGC investments, the Company expects to create a total of 40 contractor jobs and 80 new, Dow direct jobs to operate and maintain the facilities. Further Dow estimates that this project, together with all other planned projects announced on April 21, 2011 as part of company’s comprehensive U.S. investment plan, will create up to 35,000 indirect jobs in the United States.
News Category:
-
Beyond processbook & PI vision: Exploring today’s industrial analytics tools
(Webinar) - In the Manufacturing 4.0 era, industrial organizations have more data at their fingertips than ever, offering the promise of higher production rates, more ...
04-06-2024
-
Worley awarded Bayou Bend CCS carbon capture and storage facility contract
We’ve been selected to design and evaluate CO2 gathering, handling and sequestration facilities located along the Gulf Coast in Southeast Texas. Bayou Bend ...
13-05-2024
-
Black & Veatch delivers feasibility study for Andes Energy LNG Terminal
Global liquefied natural gas (LNG) infrastructure solutions leader Black & Veatch has completed a feasibility study for the planned Andes Energy Terminal, LNG regasification ...
09-05-2024
-
Shell to sell interest in Singapore Energy and Chemicals Park to CAPGC
Shell Singapore Pte Ltd, a subsidiary of Shell plc, has reached an agreement to sell its Energy and Chemicals Park in Singapore to CAPGC Pte. Ltd., a joint venture company ...
08-05-2024
-
Integrated Global Services recognized for role in mega turnaround
Integrated Global Services has been recognized as a major contributor to the successful Ras Tanura Refinery 2024 Mega Turnaround and Inspection for Saudi Arabian Energy ...
08-05-2024
-
BASF invests in capacity expansion of Basoflux® range of paraffin inhibitors
BASF plans to expand the global production capacity of its Basoflux® range of paraffin inhibitors at its site in Tarragona, Spain. This investment will enable BASF’s ...
07-05-2024
-
Ebara Elliott Energy to provide compressor for SAF project in Thailand
Ebara Elliott Energy, formerly Elliott Group, announces it has been contracted to provide a motor-driven recycle compressor with a variable frequency drive (VFD) for ...
07-05-2024
-
ETH Zurich select hte to provide high throughput test system designed for CO2 electroreduction
hte – the high throughput experimentation company was awarded a contract by the technical university ETH Zurich to provide a high throughput test system designed for ...
07-05-2024
-
TotalEnergies and Sinopec strengthen cooperation
On the occasion of the state visit to France by the President of the People's Republic of China, TotalEnergies, represented by Patrick Pouyanné, Chairman and CEO, and ...
07-05-2024
-
IPP enters agreement to market ammonia, methanol and melamine plants in Ludwigshafen
BASF and International Process Plants (IPP), a global leader in the acquisition and sale of process plants and equipment, have entered an agreement to market ammonia, ...
06-05-2024