New ethylene cracker planned for Louisiana

Axiall Corp. said it has selected the state of Louisiana as the location for a possible ethylene cracker to be built alongside a related derivatives plant, company said in a Dec. 19 release.

Axiall, which proposes to construct the plant with a soon-to-be-named partner, anticipates a total capital investment of about $3 billion for the project, with Axiall’s portion amounting to around $1 billion.

Formed by a merger of Georgia Gulf Corp. and the commodity chemicals business of PPG Industries in January 2013, Axiall already holds three manufacturing plants in Louisiana, two of which are located in the Lake Charles area, with another in Plaquemine.

While the company still is evaluating a number of options and potential partners for the ethylene cracker project, it does plan to begin the permitting process and certain front-end engineering design activities as the next steps in selecting a final Louisiana location for the project, Axiall President and Chief Executive Paul Carrico said.

If Axiall decides to proceed with the project, the ethylene cracker could begin commercial operation in 2018, according to the company.

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