Chevron Phillips Chemical (CPChem) and QatarEnergy have taken a final investment decision (FID) on the $8.5bn Golden Triangle polymers plant in Orange, Texas.
The integrated polymers facility to be built in the Texas Gulf Coast area will be owned by the two companies’ joint venture (JV) Golden Triangle Polymers.
CPChem will hold a 51% stake in the petrochemical JV, while the remaining 49% stake will be owned by QatarEnergy.
Qatar Minister of State for Energy Affairs and QatarEnergy president and CEO Sherida Al-Kaabi said: “We are excited to announce taking the FID on our largest petrochemical investment ever, highlighting QatarEnergy’s integrated position as a major player in the LNG and international exploration sectors, as well as being a global petrochemicals producer.
“In addition to complementing QatarEnergy’s growing international portfolio, as well as in the United States, this important project will help meet growing global demand for polymers.”
The Golden Triangle polymers plant will feature an ethylene cracker unit that will have a capacity of 2.08 million tons per year. It will also have two high-density polyethylene units, which put together will have a production capacity of two million tons per year.
The polymers facility will be located near CPChem’s existing Orange facility, about 180km east of Houston, where construction will be launched immediately. It is expected to generate nearly 4,500 construction jobs and over 500 full-time jobs.
CPChem and QatarEnergy expect to begin operations of the Golden Triangle polymers plant in 2026. The former will manage engineering, procurement, and construction (EPC) for the polymers project and operate it after its start-up.
CPChem president and CEO Bruce Chinn said: “Chevron Phillips Chemical and QatarEnergy have collaborated for over 20 years on the assets we operate together in Qatar. We have a great relationship and a proven track record of operating these facilities safely and reliably.
“Our products help make life better for billions of people every day, and they are part of a lower carbon future. This facility will help meet the growing demand for our products and improve the quality of life for the world’s growing global population.”
Following its commissioning, the Golden Triangle polymers plant will produce Marlex polyethylene, which will be used for making durable goods like pipelines, coolers, and kayaks.
The partners awarded an EPC contract for the polyethylene units to ZDJV, which is a joint venture between Zachry Industrial and DL USA.
The engineering and procurement for the furnace part of the ethane cracker will be undertaken by T.EN Stone & Weber Process Technology. PCL Industrial Construction, on the other hand, will be in charge of construction services.
The EPC for the remaining portions of the ethane cracker will be carried out by JKJV, which is a joint venture between Kiewit Energy Group and JGC America.
