The energy company is considering spending upwards of $800m to build a facility, about six km northeast of Fort Saskatchewan, Canada.

Williams Energy Canada president David Chappell told The Fort Saskatchewan Record that the proposal, which is expected to cost between $600m to $800m, is a natural fit for the firm’s Redwater plant.

"Building a PDH facility would further build on the value and expertise that we’ve built in Canada and serve the booming North American petrochemical market," Chappell added.

"We’ve built a unique business in Canada and we’re continuing to explore ways to capture more of the off-gas available from existing and planned upgraders and add more value to the products we produce."

The company said hydrogen, a by-product of the process, would be sold to refineries and upgraders in the Alberta market.

With the proposed Redwater expansion, the company expects to produce about 500,000t of petrochemical feedstock annually.

Alberta Industrial Heartland Association executive director Neil Shelly told the news paper that the prospect of the Williams facility could be a boon for the region.

"Propylene is the basis for an entire new family of petrochemical products from plastics, acrylic fibres, polycarbonates, resins and solvents," Shelly added.

"Once there is enough supply of propylene in place, there may be other opportunities for investors to build a facility to convert the materials into consumer ready products."