19-02-2024

QatarEnergy and CPChem celebrate construction start for Ras Laffan petrochemicals project

QatarEnergy and Chevron Phillips Chemical today celebrated the commencement of construction of a $6 billion integrated polymers complex in Ras Laffan Industrial City, Qatar.  

During the groundbreaking event, His Highness the Amir of the State of Qatar Sheikh Tamim bin Hamad Al Thani laid a ceremonial foundation stone. Executives from QatarEnergy, CPChem and its owner companies, Chevron U.S.A. Inc. and Phillips 66 Company, attended the ceremony.  

The 435-acre project site will include an ethane cracker with a capacity of 2,080 KTA of ethylene, making it the largest ethane cracker in the Middle East and one of the largest in the world. It will also include two high-density polyethylene derivative units with a total capacity of 1,680 KTA.  

“This project advances CPChem’s long-held strategy to expand its operations in regions where feedstock is reliable and abundant and will help meet the global demand for polyethylene products," President and CEO Bruce Chinn said. “CPChem and QatarEnergy have a long history of safely building and operating petrochemical facilities, and this celebration represents the next step toward bringing these world-scale assets into our successful portfolio here in Qatar.”  

The facility is designed to use modern, energy-saving technology, which along with other measures, is expected to result in lower greenhouse gas emissions intensity than similar global facilities.  

The polyethylene units will use CPChem’s MarTech™ loop slurry process to produce high-density polyethylene, which will be primarily targeted for export from the state of Qatar.  

Polyethylene is used in packaging applications for household cleaners, personal care products, food and medical supplies. It is also used in the production of durable goods and recreational products such as kayaks and coolers.

The project is being developed by a joint venture company owned 30% by CPChem and 70% by QatarEnergy. CPChem is providing project management services to oversee the engineering, procurement and construction of the facility. Site preparation began in June 2022, and startup is expected in late 2026.  

CPChem and QatarEnergy successfully operate three joint ventures in Qatar – Qatar Chemical Company Ltd., Qatar Chemical Company II Ltd. and Ras Laffan Olefins Company. The two companies, through their Golden Triangle Polymers joint venture, are also building a similar integrated polymers facility in Orange, Texas.