LyondellBasell to build 5 lakh tonne HDPE plant on US Gulf Coast

Petrochemicals and refining major LyondellBasell is moving ahead with plans to build a high-density polyethylene (HDPE) plant, with an annual capacity of 500,000 tonne, on the US Gulf Coast.

The plant will be the first commercial facility to employ LyondellBasell's new proprietary Hyperzone PE technology, the company said in  statement on  Friday.

Start-up of the plant is planned for 2019.

"Innovation is key to our future success.  This new proprietary technology will have the capability to produce a wide range of HDPE products with enhanced properties, many of which have the potential to exceed industry benchmarks," said LyondellBasell's CEO Bob Patel.

HDPE is used in numerous applications such as pipe, bottles, containers, toys, film, healthcare articles, plastic fuel tanks and industrial packaging. LyondellBasell's Hyperzone PE enhanced properties include improved stress crack resistance and enhanced balance between stiffness and impact strength.

The Hyperzone PE technology is a cascade gas phase process based on LyondellBasell's unique multizone circulating reactor technology and was developed at LyondellBasell's European research and development centers located in Frankfurt, Germany, and Ferrara, Italy. 

The new proprietary technology will have the capability to produce a wide range of high-performance multi-modal HDPE products. In certain applications, Hyperzone PE resins allow customers to use less PE resin per unit produced, resulting in improved resource efficiency and savings for customers.

While the Hyperzone PE plant will be located on the US Gulf Coast, the products produced will serve markets across the globe.

"We are continuing to invest in growth-oriented projects like Hyperzone PE, where we see long term feedstock advantage," Patel added.  "We believe that the combination of our latest polyolefins technology and new ethylene capacity from low cost de-bottlenecks will provide a good return on investment.  Additionally, this project enhances our ethylene integration strategy, allowing us to capture value across the ethylene value chain."

LyondellBasell currently produces a total of 7.8 billion pounds (3.5 million metric tons) of HDPE annually, including capacity of its joint venture facilities. The company is a leading global producer of all forms of PE with an annual capacity of 6 million tonnes.

LyondellBasell is a global leader in the development and licensing of polyolefin processes and related catalysts and plans to make the Hyperzone PE technology available for licensing in the future. The company has over 250 polypropylene and polyethylene lines licensed worldwide.

The Hyperzone PE project is part of LyondellBasell's ongoing growth plan. Recently, the company 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, Texas.  Additionally, development of a world scale propylene oxide and tertiary butyl alcohol (PO/TBA) plant at the company's Channelview site is progressing.

With manufacturing facilities at 57 sites in 18 countries, LyondellBasell is one of the world's largest plastics, chemicals and refining companies.