Exxon Mobil said Monday it plans to add a new production unit at its Beaumont polyethylene plant that will increase capacity by 65%, or about 650,000 tonnes per year, to meet growing demand for high-performance plastics.
Construction has started at the plant, where current capacity is 1 million tonnes per year. Start-up is expected in 2019, the company said in a statement.
The project aims to build on ExxonMobil’s ongoing expansion at its Mont Belvieu Plastics Plant in Texas, where two similar polyethylene units are being added.
Put together, this multi-billion dollar investment will raise the company’s U.S. polyethylene output by 40%, or nearly 2 million tonnes per year, making Texas the largest polyethylene supply point for ExxonMobil.