LyondellBasell Industries N.V. (LYB; Rotterdam, the Netherlands) announced an investment to expand propylene production capacity at its Channelview Complex near Houston.
Groundbreaking and construction are expected to begin in the third quarter of 2025, with a projected startup in late 2028. The unit will have an annual propylene production capacity of approximately 400,000 metric tons (m.t.), employ 750 people during peak construction and is expected to add 25 permanent jobs.
“This capacity expansion strengthens our ability to meet increasing customer demand and improve our self-sufficiency as we grow and upgrade a core business line for LyondellBasell,” said Kim Foley, LYB executive vice president, Global Olefins & Polyolefins and Refining. “Additionally, it reduces our exposure to market volatility, which positions LYB to provide consistent returns for our shareholders.”
The new metathesis unit will convert ethylene into propylene for use in the production of polypropylene and propylene oxide, which are building blocks for essential materials used in everyday life. End-use-related product lines include food packaging, medical devices, automotive components, aircraft deicing fluid, building insulation, cushions for home furnishings and telecommunications equipment.