Energy and chemical company Sasol and US-based Ineos Olefins & Polymers have teamed up to form a joint venture to manufacture high-density polyethylene (HDPE).
Sasol on Wednesday said in a statement that the parties signed a memorandum of understanding to develop a “world-scale” HDPE plant monetising ethylene and supplying a high-quality product.
“The joint venture expands on our greater North American strategy and will complement the products produced from the ethane cracker and derivatives project in south-west Louisiana,” explained Sasol global chemicals and North American operations senior group executive André de Ruyter.
It was envisaged the plant would produce 470 000 t/y of bimodal HDPE using Innovene S process technology licensed from Ineos Technologies.
The final investment decision was expected to be made during the first half of 2014 with start-up of the plant expected at the end of 2015.