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Dow announces increased capacity at new TX-9 cracker, new Gulf Coast PE unit

HOUSTON, May 11, 2017 (PCW) – Dow on Thursday announced it was increasing production capacity at its new TX-9 ethylene unit at Freeport to 4.4 billion lbs/yr from 3.3 billion lbs/yr, making it the largest such facility in the world.

Additionally, the company said it would build a new 600,000 mt/yr (1.32 billion lbs/yr) polyethylene unit on the US Gulf Coast, based on Dow’s Solution Process technology. Products from this line would go toward specialty packaging and health and hygiene packaging applications. The company would also perform a series of debottlenecking projects across the globe that would add 350,000 mt/yr of PE capacity with the bulk situated in North America. Additionally, Dow would buid a new 450,000 mt/yr (990 million lbs/yr) polyolefins facility in Europe.

Other investments include:

Strengthening its polyurethanes franchise by enhancing existing infrastructure;

Construction of a new catalyst production unit for key catalysts licensed by Univation, a wholly-owned subsidiary of Dow, enhancing Univation’s licensing model;

Invest in enhancing feedstock flexibility;

Invest an additional $400 million in its Midland, Michigan manufacturing operations, to further integrate Dow and Dow Corning’s operations’; and

Invest in a new, $100 million state-of-the-art innovation center at its global headquarters in Midland.

These investments are part of a larger 10-year, $12 billion program at Dow are will go into service in a phased manner, beginning in 2020. Some $4 billion in capex will be spread over the next five years. -- Samantha Hartke

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