Sasol, INEOS to develop new US plant for high-density polyethylene
Sasol has signed a memorandum of understanding (MOU) with INEOS Olefins & Polymers to form a joint venture to manufacture high-density polyethylene (HDPE), the companies said on Wednesday.
This partnership will leverage the expertise of two global players in the chemical market. Together we will develop a world-scale HDPE plant which will allow us to monetize ethylene and supply
a high quality product, said André de Ruyter, Sasol's senior group executive for global chemicals and North American operations.
The joint venture expands on our greater North American strategy and will complement the products produced from the ethane cracker and derivatives project in southwest Louisiana," he added.
The envisaged plant will produce 470,000 tpy of bimodal HDPE using Innovene
S process technology licensed from INEOS Technologies. The intention is to produce a limited number of grades allowing high-grade efficiencies.
This joint venture demonstrates INEOSs continued commitment to the HDPE market and to growing end-use applications that benefit from bimodal technology," said Dennis Seith, CEO of INEOS Olefins & Polymers USA.
"It enables two global companies to integrate with each partners upstream businesses the leading bimodal slurry technology on a world-scale asset, he added.
The final investment decision is expected to be made in the first half of 2014, with start-up of the plant expected at the end of 2015.
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