Shintech Louisiana LLC, the US subsidiary of Tokyo-based Shin-Etsu Chemical Co. Ltd.’s Shintech Inc., announced the start of production at its ethylene plant in Plaquemine, Louisiana.
The 500,000-tonnes per year plant started producing ethylene as of Feb. 13, project contractor Toyo Engineering Corp. and subsidiary Toyo USA Inc. said.
Earlier this month in a conference call with investors, Shin-Etsu said that Shintech was in the process of starting up the ethylene production site and expected to begin cracking operations during the first week of February.
The new ethylene plant is part of Shintech’s strategy to end ethylene imports by setting up in-house production from its own raw materials to ensure a stable supply and further strengthen its existing integrated PVC manufacturing site in Plaquemine.
Shintech Louisiana’s previously announced $1.49 billion investment to develop a chloralkali and vinyl chloride monomer (VCM) production plant and expand the Plaquemine PVC manufacturing site also will proceed as planned.
The phased expansion will include construction of a new plant with a production capacity of 860,000 tonne per year of VCM and 660,000 tonne per year of caustic soda. The plant is scheduled to be completed in late 2020 and enter operation in early 2021.