Total, Borealis and Nova to form petrochemicals JV
Canadian Plastics
MaterialsAffiliates of chemical makers Total SA, Borealis AG, and Nova Chemicals Corp. have signed definitive agreements to form a petrochemical joint venture on the U.S. Gulf Coast.
Affiliates of chemical makers Total SA, Borealis AG, and Nova Chemicals Corp. have signed definitive agreements to form a petrochemical joint venture on the U.S. Gulf Coast.
Total will own 50 per cent of the joint venture, which was announced on Feb. 19, with the other 50 per cent held by Novealis Holdings LLC, a joint venture between Borealis and Nova.
The joint venture will include an ethane steam cracker – which is already under construction in Port Arthur, Texas – an existing polyethylene facility owned by Total in Bayport, Texas, and a new polyethylene unit at Total’s Bayport site.
As announced in March 2017, the new US$1.7 billion ethane steam cracker is being built alongside Total’s Port Arthur refinery and Total/BASF existing steam cracker. The project, which is scheduled to start up in 2020, will create around 1,500 jobs during peak engineering and construction activity.
“We look forward to working with Borealis and Nova to create world-class facilities and become a major player in the growing U.S. and global market for polyethylene,” said Bernard Pinatel, president of refining and chemicals at Total.
Calgary-based Nova is wholly-owned by Mubadala Investment Co. of the Emirate of Abu Dhabi.
The financial details of the new petrochemical JV have not been disclosed.
