The engineering design phase of the project is expected to start soon and a planned start-up is anticipated in late 2025
Image: The new facility is planned to be constructed and developed in Ras Laffan Industrial City. Photo: Courtesy of Chevron Phillips Chemical Company.
Chevron Phillips Chemical and Qatar Petroleum (QP) have signed an agreement for the development, construction and operation of a petrochemicals complex in Qatar to produce ethylene and high-density polyethylene (HDPE).
Qatar’s State Energy Affairs Minister and Qatar Petroleum president & CEO Saad Sherida Al-Kaabi, and, Chevron Phillips Chemical president & CEO Mark E. Lashier have participated the signing of the project agreement in Doha.
The new facility is planned to be constructed and developed in Ras Laffan Industrial City, an industrial hub located 80kms north of Doha, Qatar.
The project will be undertaken through a joint venture, in which Qatar Petroleum will own a 70% majority ownership, and Chevron Phillips Chemical will own a 30% stake.
Chevron Phillips said that the facility is expected to have a 1.9 million tonnes per annum (mtpa) ethane cracker and two high-density polyethylene derivative units with a combined capacity of 1.68mtpa.
Saad Sherida Al-Kaabi said: “The conclusion of these agreements constitutes an important milestone for Qatar Petroleum as petrochemicals represent a major pillar of our growth strategy to achieve our vision of becoming one of the best national oil and gas companies in the world.”
Chevron Phillips to offer project management services for the complex
Under the partnership, Chevron Phillips is expected to provide project management, engineering and construction services to develop the project, apart from providing the exclusive licensing of its MarTECH loop slurry process for manufacturing HDPE.
The engineering design phase of the project is expected to start soon and a planned start-up is anticipated in late 2025.
Lashier said: “Developing this project is a tremendous opportunity for our company to expand on our highly-successful joint ventures with the State of Qatar to meet the growing global demand for petrochemical products that enrich lives around the world. Qatar is one of the world’s leading producers of the natural gas liquids that will fuel these world-scale assets.
“This project fits perfectly with our global strategy to build petrochemical assets in regions of the world where feedstock options are abundant and competitively-priced. We look forward to building on our strong relationship with Qatar Petroleum and believe that these new world-scale assets will deliver exceptional value.”