05.05.2014 • NewsBASFDede WillamsPetrochemicals

BASF to Build Methane-to-Propylene Plant in U.S.

BASF has announced plans to build a world-scale methane-to-propylene complex on the US Gulf Coast to take advantage of low-cost, shale gas-derived ethane feedstock.

The German group did not reveal the projected cost of the facility or a planned start-up date, but some reports said the cost could exceed €1 billion.

Speaking to the annual shareholders meeting, CEO Kurt Bock said it will be BASF's largest single-plant investment to date, is expected to "considerably improve the group's cost position and backward integration in the U.S.

The unquantified output would be earmarked for captive use in North America.

BASF Total Petrochemicals, the 60:40 venture with France's Total, recently started up of a 10th furnace at its steam cracker in Port Arthur, Texas, which last year was revamped to use ethane feedstock.

While the group said this would improve feedstock flexibility, enhance plant reliability and increase the jv's annual ethylene output to more than 1 million t/y, it will at the same time reduce output of propylene, a BASF executive explained to a UK news agency. This will necessitate on-purpose output of C3 to balance BASF's supply-demand balance in North America.

Also at the meeting, Bock also announced that BASF will explore for shale gas in Argentina.

Virtual Event

Digitalization in the Chemical Industry
CHEManager Spotlight

Digitalization in the Chemical Industry

Save the Date: October 22, 2025
The event will be promoted to a combined audience of over 100,000 professionals across Europe through the CHEManager and CITplus networks.

Innovation Pitch

The Start-up Platform for Chemistry & Life Sciences
Discover Tomorrow’s Innovators

The Start-up Platform for Chemistry & Life Sciences

CHEManager Innovation Pitch supports innovation in the chemistry and life sciences start-up scene. The platform allows founders, young entrepreneurs, and start-ups to present their companies to the industry.

most read

Photo
19.03.2025 • News

Arkema Launches Acrylic Acid Purification Project

Arkema has announced the launch of its Carat Project at its Carling site in France. This initiative aims to enhance the capabilities and sustainability of the facility, which specializes in producing acrylic monomers and superabsorbent polymers.

Photo
22.04.2025 • News

BASF Divests Two Joint Ventures in China

BASF has divested its shares in the joint venture companies, BASF Markor Chemical Manufacturing (Xinjiang) Co., Ltd. and Markor Meiou Chemical (Xinjiang) Co., Ltd. in Korla, China, to Verde Chemical Singapore Pte. Ltd.