Shell to build Louisiana alpha olefins plant

OREANDA-NEWS. December 01, 2015. Shell Chemical announced today it will proceed with plans to build a 425,000t/yr alpha olefins plant at its chemical manufacturing site in Geismar, Louisiana, making the site the largest alpha olefins producer in the world.

The new plant will be the fourth unit at the site, increasing its alpha olefins capacity to more than 1.3mn t/yr. Construction will begin in the first quarter of 2016.

Alpha olefins are used in the production of polyethylene plastic as well as engine and industrial oils and drilling fluids.

"With the investment in new profitable facilities, Shell Chemicals is well placed to respond to increased global customer demand for linear alpha olefins," said Graham van't Hoff, executive vice president for Royal Dutch Shell's global chemicals business. "We have strong technology, advantaged ethylene feedstock from nearby Norco and Deer Park sites, and operational flexibility to allow us to respond to market conditions."

In addition to the Geismar site, Shell also produces alpha olefins at Essar Oil's Stanlow refinery in the UK.