- The new PDH plant in Kallo will have a production capacity of 750,000 metric tonnes of propylene per year.
- The project involves an investment of approximately EUR 1 billion.
- Construction began in 2019 with a planned start-up in mid-2022.
- Tecnimont is handling engineering, procurement, and construction management.
Project Overview
Borealis has commenced construction on a new propane dehydrogenation (PDH) plant at its Kallo site in Belgium. The facility will produce 750,000 metric tonnes of propylene annually, making it one of the largest and most efficient plants globally. The project represents an investment of around EUR 1 billion, the largest Borealis has made in Europe.
Importance of Propylene
Propylene is a crucial raw material for producing polypropylene (PP), a widely used plastic in various industries such as automotive, consumer goods, energy, food packaging, and healthcare. The new plant will help meet the growing European demand for propylene, which is currently facing supply constraints due to global market developments.
Technological and Operational Efficiency
The Kallo plant will utilize Honeywell UOP’s Oleflex™ technology, known for its reliability and sustainability in propylene production. This technology will enable the plant to consume less energy while producing higher volumes of propylene. Additionally, the plant will generate its own hydrogen and a significant portion of the steam and electricity required for operations through an embedded cogeneration unit.
Economic Impact
The new facility will create approximately 100 full-time positions at Borealis and additional jobs at suppliers and contractors. During construction, the workforce will average around 1,000, peaking at over 2,000 during critical phases. The investment is expected to have positive knock-on effects for regional suppliers and businesses, enhancing the strategic importance of the Port of Antwerp.
Construction Details
Construction began in 2019, with the plant's start-up scheduled for mid-2022. Tecnimont has been awarded the engineering, procurement, and construction management (EPCM) contract, as well as the commissioning services contract for the project.
