CP breaks ground for PE plants in the US

Chevron Phillips Chemical Company (CP Chemical) held its second groundbreaking ceremony for its US Gulf Coast (USGC) Petrochemicals Project at the construction site in Old Ocean, Texas, recently. The construction includes two world-scale polyethylene units that will each produce 500,000 metric tons of plastic resin every year. With this groundbreaking, CP Chemical maintains its first mover position within the petrochemicals industry to engineer and build world-scale ethylene and derivatives facilities in the US based upon the successful development of shale resources.

The resin from the polyethylene units will be used for a variety of products, including new flexible packaging options that extend the shelf life of fruits and vegetables, as well as in the creation of plastic piping, merchandise bags, and bottles. In addition to constructing the production facilities, 45 miles of railroad track will be installed on-site to hold and transport the output of these units.

The engineering, procurement and construction (EPC) phase of the two polyethylene units is being executed through Gulf Coast Partners, a partnership between Technip USA Inc. and Zachry Industrial.

"With the construction of this mega project, we will be in a position to better serve the growing needs of our customers around the globe. This entire project is made possible by advances in technology. First, through innovations within the E&P industry to unlock oil and gas trapped in shale rock. Second, by the research and brilliance within Chevron Phillips Chemical to develop high-performance polyethylene resins,” said Peter L. Cella, president and chief executive officer of Chevron Phillips Chemical.

The economic impact generated from this endeavour is significant; over 400 long-term direct jobs and 10,000 engineering, construction and fabrication jobs will be created as a result of the Chevron Phillips Chemical USGC Petrochemicals Project.


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