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June 9, 2014
Sasol and Ineos JV will build HDPE plant in Texas
Sasol Chemicals North America LLC (Westlake, La.; www.sasolnorthamerica.com) and INEOS Olefins & Polymers USA (La Porte, Tex.; www.ineos.com) announced today that they have reached final investment decision to form a joint venture to build a high-density polyethylene (HDPE) plant in LaPorte, Texas.
The 50/50 joint venture will produce 470,000 tons per year of bimodal HDPE using Innovene S process technology licensed from INEOS Technologies. The ethylene required for the production of the HDPE will be supplied by Sasol and INEOS in proportion to their respective ownership positions.
Fleetwood Grobler, Sasol group executive for global chemicals, said “Its location offers several benefits, including access to U.S. Gulf Coast infrastructure and proximity to our current and proposed ethane cracker and derivatives complex in Southwest Louisiana.”
INEOS will operate the HDPE plant at its Battleground Manufacturing Complex in LaPorte. Plant start-up is expected in the 2016 calendar year.
The definitive agreements are in the process of being finalised, and all relevant permits have been obtained. Because the plant will be debt financed, the investment decision is conditional on achieving financial close.
Sasol and INEOS announced their intention to form this joint venture in July 2013.