As part of its third-quarter financial results update, Phillips 66 Inc. (Houston) announced that is has completed an expansion of its Sweeny, Tex. petroleum refininey. The company added fractionation capacity (Sweeny Frac 4), adding 150,000 barrels/day (bbl/d) of capacity. Frac 4 achieved full rates in early October. Total Sweeny Hub fractionation capacity is 550,000 bbl/d. The fractionators are supported by long-term commitments.
The company also announced updates for its chemicals arm, CPChem (jointly owned with Chevron Corp.) CP Chem is pursuing a portfolio of high-return growth projects:
- Growing its normal alpha olefins business with a second world-scale unit to produce 1-hexene, a critical component in high-performance polyethylene. Construction is underway on the 586 million pounds per year unit located in Old Ocean, Texas. The project utilizes CPChem’s proprietary technology. Startup is expected in the second half of 2023.
- Expanding propylene splitting capacity by 1 billion pounds per year with a new unit located at its Cedar Bayou facility. Startup is expected in the second half of 2023.
- Increasing polyalphaolefins production capacity in Belgium by over 130 million pounds per year. Startup is expected in 2024.
- Continuing development of world-scale petrochemical facilities on the U.S. Gulf Coast and in Ras Laffan, Qatar, jointly with Qatar Energy. CPChem expects to make a final investment decision for its U.S. Gulf Coast project in the fourth quarter.