INEOS Oligomers to build 120 ktpa PAO plant at Chocolate Bayou, TX
- 120 ktpa low‑viscosity PAO unit planned as the world’s largest single PAO train.
- Start‑up scheduled for 3Q 2019.
- Feedstock will come from an adjacent 420 ktpa LAO plant under construction on the Chocolate Bayou site.
- Investment is part of a near‑$1bn program to expand PAO capacity and LAO feedstock, complementing La Porte (TX) and Feluy (Belgium) units.
Project overview
INEOS Oligomers has made the final investment decision to build a 120 ktpa low‑viscosity Polyalphaolefin (PAO) unit at its Chocolate Bayou, TX site. The company says this will be the world’s largest single PAO train and is scheduled to start up in 3Q 2019. The unit will complement existing PAO capacity in La Porte, TX and Feluy, Belgium.
Feedstock and integration
The new PAO unit will obtain feedstock from an adjacent Linear Alpha Olefin (LAO) plant currently under construction at Chocolate Bayou. INEOS is building a separate 420 ktpa LAO unit on site to supply the PAO train; existing LAO units in Joffre, Canada and Feluy, Belgium feed current PAO capacity.
Supply‑chain and market rationale
Management links demand for low‑viscosity PAO to lubricant reformulation aimed at improved fuel economy and lower carbon emissions. INEOS positions the investment as a means to maintain its merchant leadership in low‑viscosity PAO and to strengthen global supply‑chain robustness versus competitors that may rely on single production sources.
Investment and local impact
Company executives state the combined PAO and LAO investment is close to $1 billion. They say the project will create construction jobs and longer‑term operational roles in the local economy, and that INEOS Group leadership supports the plan as part of the division’s growth strategy.
Source: INEOS