Basell to stop producing polypropylene in Sarnia in 2008
Basell announced that it will stop producing polypropylene in Sarnia, Ontario in mid-2008. The plant is expected to continue normal operations until the time it ceases production.
"When the Sarnia plant began operation in 1978, it was one of the last plants to be built in North America with old generation slurry process technology," said Michael Mulrooney, president of Basell North America. "Annual production has averaged only 100 KT the past two years, and the reality is that the operating costs there are no longer competitive."
"Production will be shifted to other Basell sites which use more advanced Spheripol or Spherizone process technologies," Mulrooney said. "In addition to being more efficient, this will allow us to upgrade product quality which will benefit our customers."
Basell currently operates two polypropylene lines in Bayport, Texas and is in the process of re-starting a third line at that site. The company also has two polypropylene lines in Lake Charles, Louisiana, and one in Varennes, Quebec. All of these units use Spheripol process technology. Basell's joint venture in Mexico, Indelpro, operates a Spheripol process line and is building a new 350 KT Spherizone polypropylene plant at Altamira which is scheduled to start up in early 2008.
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