Project Profile
Value: Undisclosed
Location: Freeport, Brazoria County, Texas, Houston–Sugar Land–Baytown metropolitan area, Southeast Texas, USA
Capacity: 750,000 t/y of on-purpose propylene
Start-up Year: 2015
Dow announced to build new propylene units in Freeport, Brazoria County, Texas within the Houston–Sugar Land–Baytown metropolitan area, in Southeast Texas as part of its Dow Texas Operations along the Gulf Coast. Dow Chemical Company (Dow) is planning to increase locally the number and variety of production units downward its chemical value chain. To feed all these new production units, Dow is securing its supply for ethane and propane from Eagle Ford and Marcellus shale gas basins. Dow signed agreement with Range Resources Corporation for the delivery of ethane from Marcellus shale gas field. Regarding the propylene project Dow decided to integrate its production to take advantage of the low propane cost as row material.
Dow signed in December 2011 a license agreement with Honeywell-UOP to use the C3 Oleflex TM technology to convert shale gas propane into polymer grade propylene by propane dehydrogenation. In September 2012, Dow awarded Fluor the engineering, procurement and construction management (EPCM) contract. Fluor had previously completed the FEED work for this Dow propylene project in Freeport, Texas, USA. Fluor is performing the EPCM contract from its Houston office in Texas with the support from its Philippines office. In January 2013, Dow ordered the long lead items for a first production unit of 750,000 t/y of on-purpose propylene based on Honeywell-UOP technology and to come on stream in 2015. Then and since the production of on-purpose propylene out of shale gas propane is becoming a core business, Dow is developing its own technology for a second production unit expected to run into commercial operations in 2018.
Operators:
Dow Chemical Company: Operator with 100% interest
Contractors:
Fluor: Engineering, procurement and construction management (EPCM) contract and FEED work
Honeywell-UOP: Provide the C3 Oleflex TM technology to convert shale gas propane into polymer grade propylene by propane dehydrogenation
Wood Group Mustang: Provide services for construction