6.6-M MT ethylene capacity added in Gulf region

The global economic downturn from 2008 to 2009 tested the resiliency of the Gulf region, and even whilst recovery was noticeable in 2010, the region was cautious. In general, the regional industry has reported a very good year, with higher demand and prices generating excellent financial results. According to the Annual Report of the Gulf Petrochemical and Chemical Association (GPCA), the region's industry has bounced back as a result of crucial investment pay-offs which saw the expansion of major players. The report highlighted several new large-scale projects which came on stream during the year.
About 6.6 million metric tonnes of ethylene capacity was added in 2010 by companies in the region, with SABIC's SAUDI KAYAN, YANSAB and SHARQ accounting for about 3.3 million tonnes, Borouge II starting up its 1.5 million-tonne cracker in Abu Dhabi, and Ras Laffan Olefins Company commissioning its 1.3 million-tonne cracker in Qatar. As ethylene production went up, so did the ethylene derivatives, and the report named five major projects that added about 6 million tonnes of polyolefins to the region's output, including polyethylenes (HDPE and LLDPE) and polypropylene. Hence, the Gulf petrochemical and chemical industry is on firmer footing in 2011 and beyond as the region's share in the world petrochemical industry increases from the current 15% to 20% by 2015.
www.gpca.org.ae