Nova Chemicals to expand Ontario PE assets
Calgary, Alta.-based Nova Chemicals Corporation has announced plans for a series of polyethylene (PE) plant moderni...
Calgary, Alta.-based Nova Chemicals Corporation has announced plans for a series of polyethylene (PE) plant modernization and expansion projects at the company’s plants in the Sarnia, Ont. region.
Collectively, the projects will add a total of up to 250 million pounds per year of new PE capacity over the next two years.
“These projects should have about a two year pay-back and will generate meaningful earnings growth for our shareholders in every part of the industry business cycle,” noted Nova CEO Jeffrey Lipton. “The upgrades include technology that will enable us to produce higher value products that our customers are hungry for.”
In Mooretown, Ont., Nova will upgrade products, improve the reliability and expand the low density polyethylene unit. Also, the company will optimize its high density polyethylene unit in Mooretown to increase throughput quality and improve product quality.
The company also plans on debottlenecking high density polyethylene and linear low density polyethylene production at the St. Clair River site in Corunna, Ont.
The company said the projects were now feasible because the Corunna flexi-cracker modernization in 2007 has delivered “greater ethylene capacity, increased energy efficiency, improved plant reliability and global cost competitiveness.”
The projects in the region will cost approximately $80 million.