Dow Chemical Co. began producing on-spec ethylene in late December at its St. Charles Olefins 2 Plant near Hahnville, LA, the company said. “The start-up of our St. Charles ethylene plant represents the first major milestone within our U.S. Gulf Coast investment strategy,” said Brian Ames, president, of Dow’s olefins, aromatics and alternatives business. “This action further reduces the company’s purchased ethylene, lowering costs and strengthening the competitiveness of our high-margin, high-growth derivatives businesses.” Restart of the plant had been previously announced and is part of the company’s plan to further connect its U.S. operations with cost-advantaged feedstocks from U.S. shale gas (see Shale Daily, Dec. 13, 2012). “Plans to increase ethylene and propylene supply and ethane cracking capabilities at existing U.S. Gulf Coast facilities strengthen the competitiveness of Dow’s performance plastics, performance products and advanced materials businesses and enable profitable growth in the Americas,” the company said. The St. Charles plant was idled in January 2009 and is now expected to deliver a $150 million increase in earnings before interest, taxes, depreciation and amortization this year.
Hahnville
Articles from Hahnville
Shale Bounty Spurs Dow to Construct Texas Ethylene Unit
Dow Chemical Co. plans to build a world-scale ethylene production plant at its Dow Texas Operations in Freeport, TX, as part of a plan to capitalize on low-cost feedstocks available from growing U.S. shale gas supplies, the company said Thursday.
April 20, 2012
Marcellus, Eagle Ford to Fuel Dow Chemical Expansion
Dow Chemical Co. on Thursday launched an ambitious plan to increase ethylene and propylene production, as well as integrate U.S. operations into feedstock “opportunities” by using the prolific shale gas resources of the Marcellus and Eagle Ford shales.
April 25, 2011