Momentive Specialty Chemicals to Build Formaldehyde Plants in Louisiana
Momentive Specialty Chemicals has announced plans to build two new world-scale formaldehyde plants with total capacity for more than 400,000 t/y at its Geismar and Luling, Louisiana, production sites.
The Geismar plant, with a direct pipeline delivery system to the adjacent manufacturing sites of BASF and Huntsman, is expected to go on stream in the fourth quarter of 2015. The Luling unit, due to start up in the first quarter of 2016, will supply agrochemicals giant Monsanto through a direct pipeline.
Momentive, which claims to be the world's largest producer of formaldehyde, said the expansion projects, which received tax incentives from Louisiana Economic Development (LED), will cost $66 million and support 68 jobs.
The new site being built up around the plants will be the company's 20th Forest Products site in North America. It follows a recently announced expansion in Curitiba, Brazil.
Targeted investments such as these, in partnership with customers, are a key part of the company's global growth strategy, said Dale Plante, executive vice President of Momentive Specialty Chemicals and president of the Forest Products division.
The additional capacity, which is complementary to Momentive's existing integrated network, will enable the company to meet expected growth in the Gulf Coast region for several significant and long-time customers, Plante said.
