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LyondellBasell Plans Chemical Plants In Houston, Texas, Metro Area

11/19/2015
LyondellBasell, one of the world's largest plastics, chemical and refining companies, is advancing plans to build the world's largest propylene oxide and tertiary butyl alcohol plant in metro Houston, Texas. This project, considered to be the largest of its kind, is expected to create approximately 100 permanent positions.

"We are moving forward in a deliberate fashion to develop what could become the single largest capital investment in LyondellBasell's history," said CEO Bob Patel. "We continue to believe that the combination of low-cost natural gas liquids available on the U.S. Gulf Coast, along with our leading proprietary PO/TBA technology, will allow this proposed project to capture maximum advantage of market opportunities."

The Company's complex located in Channelview, Texas was selected as the site for the PO/TBA unit. The Bayport Choate site near Pasadena was selected for an ethers unit which will produce oxy-fuels for high octane gasoline. A split facility design between the Channelview and Bayport sites will optimize the product balances between the sites and create additional synergies.

This project is part of LyondellBasell's previously announced $3 - $4 billion expansion effort that will take place on the U.S. Gulf Coast over the next five years. LyondellBasell has already completed work on ethylene expansion projects at the Company's La Porte and Channelview sites in Texas. A third ethylene expansion project is currently underway in Corpus Christi.

The Company will soon begin front-end engineering design work and file environmental permit applications. This phase will also include funding to order long lead-time equipment. A final investment decision is expected to be made following completion of the engineering design work.

The plant will sell PO in the global marketplace to meet growing demand for polyurethanes, which are used primarily for the manufacture of bedding, furniture, carpets and car seats. TBA and its derivatives, which include oxy-fuels, will be sold to meet the need for high octane gasoline blending components as well as for use in manufacturing synthetic rubber and lubricant additives.

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