Mubasher: Canada Kuwait Petrochemical Corporation (CKPC), a joint venture (JV) between Kuwait's Petrochemical Industries Company (PIC) and Canada’s Pembina Pipeline Corporation (PPC), has announced plans to build a new and integrated polypropylene (PP) and propane dehydrogenation (PDH) plant in Alberta in Western Canada.
CKPC is planning to build the $4.5-billion facility in proximity to PPC’s current redwater fractionation complex in the West Canadian Sedimentary Basin, according to a company statement.
“Sanctioning of the PDH/PP facility is the largest step taken to date by Pembina in executing its strategy to secure global market prices for customers’ hydrocarbons produced in western Canada, and provides another exciting platform for future growth,” PPC’s president and CEO Mick Dilger commented.
The new plant's capacity will reach 550,000 tonnes of polypropylene per year, consuming 23,000 barrels a day of propane feedstock.
“Our investment in CKPC provides PIC [with] an opportunity to build on our existing asset base in Alberta b developing large-scale petrochemical infrastructure with a highly strategic partner in a market with long-term feedstock security and a supportive local government,” PIC’s CEO Mohammed Abdullatif Al-Farhoud said.
The new plant and support facilities are expected to be operational by mid-2023 after the completion of a group of regulatory and environmental approvals.
