Dow Plans Net-Zero Cracker Complex in Canada
Dow has announced plans to build what it regards as the world’s first net-zero carbon emissions ethylene and derivatives complex at its Fort Saskatchewan site in Alberta, Canada. The project, to go on onstream by 2030, will add roughly 1.8 million t/y of ethylene capacity and 3.2 million t/y of PE and ethylene derivatives.
In addition, Dow will retrofit existing assets to achieve net-zero Scope 1 and Scope 2 CO2 emissions for the site overall.
Fort Saskatchewan was chosen for the investment, said Dow, because it offers a highly competitive energy and feedstocks position, as well as access to available third-part CO2 infrastructure.
“This investment builds on Dow’s strong leadership position and allows us to meet the increasing needs of customers and brand owners seeking to lower the carbon footprint of their products,” said chairman and CEO Jim Fitterling. “Our advantaged position and disciplined approach to capital investment makes us well positioned to lead the industry in decarbonizing, growing and accelerating Dow’s path toward carbon neutrality.”
The project, which is subject to final approval by Dow’s board and various regulatory agencies, will decarbonize about 20% of Dow’s global ethylene capacity, while expanding PE supply by about 15%. The company expects to complete the project with a capital intensity that is approximately 15% lower than its “industry leading” Texas-9 cracker and derivative units in Freeport, which started up in 2017.
According to Dow, the Texas-9 cracker has delivered a return on invested capital of more than 15% since start-up and is currently operating at 65% lower conversion cost and up to 60% lower CO2 emissions intensity than the average cracker in its fleet, as well as 20% lower capital cost versus the industry.
Author: Elaine Burridge, Freelance Journalist
