German oxo-chemicals company Oxea has announced plans to increase capacity for neopentyl glycol (NPG) at its site in Oberhausen. Basic engineering on the debottlenecking project has started and the additional output is expected to be available by early 2020. Capacity figures were not disclosed.

“We are convinced that the NPG market is growing.  But while capacities for NPG are being added in Asia, European capacities are not expanding in line with demand growth,” said Matthias Freitag, Oxea’s global commercial business director polyols and plasticizers. He added that based on customer requirements, Oxea will produce NPG molten, 90% slurry and flakes, for small to large industrial customers. NPG is used in the synthesis of polyesters, coatings, lubricants and plasticizers.

Separately, the Monheim-based group confirmed that its new propanol production plant at Bay City, Texas, USA, is now mechanically complete. The 100,000 t/y Propanol 2 facility is scheduled to produce commercial volumes in the third quarter.

Naoko Roth, Oxea’s marketing director US oxo intermediates, said that with the additional capacity, Oxea can expand further into existing and future growth markets.