Chevron Phillips Chemical Company LP announced last Tuesday that it has reached final investment decision to expand the low viscosity polyalphaolefins (PAO) capacity at its Cedar Bayou plant in Baytown, Texas by 10,000 metric tons per year or about 20 percent. The company said the expansion will allow it to meet the increasing demand for high-performance lubricants in automotive and industrial applications, as demand for higher energy efficiency and high-quality basestocks continues to grow.
CPChem said the project also improves process safety and overall unit efficiencies while reducing waste generation for the Cedar Bayous PAO unit. Feedstocks for this project will be provided through Chevron Phillips Chemicals recent 100,000 metric tons per year expansion of normal alpha olefins (NAO) capacity at its Cedar Bayou plant.
This additional capacity enables us to expand with our customer base to meet the future requirements of the industry," said Global PAO Business Manager for Chevron Phillips Chemical Miles Oberton. Chevron Phillips Chemical develops and produces PAOs, marketed under the brand name Synfluid® PAO, which are used for a variety of automotive and industrial applications including engine oils, gear oils and greases.
Construction will begin in April 2016 with completion and startup expected by mid-2017. The expansion will support up to 135 construction and engineering jobs.
Chevron Phillips Chemical, with approximately 5,000 employees, and its affiliates own $14 billion in assets, including 36 manufacturing and research facilities in eight countries. Chevron Phillips Chemical Company LLC is equally owned by Chevron U.S.A. Inc., an indirect wholly-owned subsidiary of Chevron Corporation, and by wholly-owned subsidiaries of Phillips 66, and is headquartered in The Woodlands, Texas.
