Deficient demand for ethylene and propylene manufactured at LyondellBasell's Chocolate Bayou plant has compelled the company to keep the facility shuttered indefinitely. The move is an attempt to optimize operations due to low demand, idling plants until demand increases.
The plant with capacity to produce 1.2 bln pounds pa ethylene and 725 mln pounds of propylene has been idled since December 19. However, the plant is not part of any bankruptcy proceedings. The 400 on-hold jobs at the plant include both contractors and company employees.
LyondellBassell's Chocolate Bayou plant serves customers along the Gulf Coast, loading product into a pipeline as needed. Its customers can take their requirement from the pipeline in a manner similar to someone filling up with gas. Current customer requirements have dipped drastically, with very few of them bothering to fill.