Braskem buying parts of U.S. polypropylene plant
Brazil-based resin producer Braskem SA has invested US$56 million to buy the polypropylene splitter assets at Sunoco's former refinery in Marcus Hook, Penn.
July 12, 2012 by Canadian Plastics
Brazil-based resin producer Braskem SA has invested US$56 million to buy the polypropylene splitter assets at Sunoco’s former refinery in Marcus Hook, Penn.
According to Sao Paulo-based Braskem, the acquisition will secure feedstock supply from multiple sources.
As part of the agreement, Braskem will process propylene through the splitter assets for use in its adjacent polypropylene plant.
In addition to Braskem’s US$56 million investment, the state of Pennsylvania is contributing US$15 million in grants. However, state funding is contingent on Braskem creating at least 28 new full-time jobs and retaining 119 direct and contracted refinery employees for at least five years. Braskem also is required to retain 90 jobs at its Philadelphia headquarters and 10 jobs at its Technology and Innovation Center in Pittsburgh.
“This transaction represents an important step in preserving the viability of Braskem’s Marcus Hook polypropylene facility for the foreseeable future and solidifying Braskem’s continued commitment to the North American petrochemical market,” said Fernando Musa, CEO, Braskem America. “We are very pleased to complete this transaction and to bring certainty to our clients, employees and the local community regarding the future of operations at our Marcus Hook site.”