- The ethylene cracker in Berre, France was damaged by a fire on August 2.
- Repairs are expected to be completed by November.
- Restart is delayed to early 2023 due to high energy costs and low demand.
Incident Overview
On August 2, a fire damaged the ethylene cracker at LyondellBasell's integrated olefins and polyolefins production site in Berre, France. This incident has led to significant operational disruptions at the facility.
Repair Timeline
Repairs to the damaged cracker are projected to be completed by November. Despite the progress in repairs, the facility will not resume operations immediately upon completion.
Factors Influencing Delay
The decision to delay the restart until early 2023 is influenced by several factors. Persistently high energy costs in the region have made operations less economically viable. Additionally, compressing margins and a decline in demand for products have further contributed to the postponement.
Market Conditions
The chemical industry in the region is currently facing challenging market conditions. The combination of high operational costs and reduced demand is impacting the financial performance and strategic decisions of companies operating in this sector.