Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Thai company PTT delays decision on $5.7 billion Ohio petrochemical plant

Commodities Jun 05, 2020 04:40PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 

(Reuters) - Thai chemical company PTT PCL (BK:PTT) said on Friday its U.S. unit expects to decide in the next six to nine months whether to build a proposed $5.7 billion plant called an ethane cracker in Ohio, putting off a decision it had said would likely come in the first half of 2020.

“While the pandemic has prevented us from moving as quickly as we would like within our previous timeline, our best estimate is for a final investment decision by the end of this year or in the first quarter of next year," Toasaporn Boonyapipat, President and CEO of PTT's PTTGC America (PTTGCA) unit, said in a statement.

PTTGCA and its partner, South Korea's Daelim Industrial Co Ltd (KS:000210), had said they planned to decide in the first half of 2020 on the ethane cracker, a chemical plant which would be used to produce ethylene, an ingredient in plastic.

Sources told Reuters the partners have indefinitely delayed an investment decision on the project. But PTTGCA said it "is still progressing with the project and at no point put the project on indefinite hold."

An already saturated plastic market has been further shaken by a demand shock during the coronavirus pandemic.

The facility is designed to produce about 1.5 million metric tons of ethylene per year. Ethylene is used to make plastic, among other things.

PTTGCA said it chose the Ohio site because it is located in the Marcellus and Utica shale region, the biggest U.S. natural gas shale formation. Ethane is a natural gas liquid that comes from oil and gas wells.

The project is expected to take between four and six years to build.

Thai company PTT delays decision on $5.7 billion Ohio petrochemical plant
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email