Qatar aims to reasses at its petrochemical expansion plans, with a view to remove any new polymer capacities in the pipeline amid a supply glut in the Middle East that is chipping away at regional producers’ margins, industry sources said in ICIS. Approximately US$25 bln is planned to be invested to boost its petrochemical capacity to 23 mln tons by 2020 from 16.8 mln tons in 2012, according to state-owned energy distributor Muntajat. A regional oversupply of polymers is forcing Qatar to diversify to other petrochemicals, deviating from its long-standing focus on growing its polyolefins production.
State-owned conglomerate Industries Qatar announced last month that its mega Al-Sejeel petrochemical complex project is on hold, and that it is looking at an alternative downstream investment. The complex, scheduled for completion in 2018, was planned with capacity to produce 1.4 mln tpa of ethylene; 550,000 tpa of low density (LDPE); 430,000 tpa of linear low density PE (LLDPE); 1.04 mln tpa of high density PE (HDPE) and 760,000 tpa of polypropylene (PP).
In the Middle East, at least 2.5 mln tons of new olefins and polyolefins capacities are due to come on stream in the UAE in the coming months, with the start-up of Borouge 3. Borouge 3 comprises a 1.5 mln tpa ethane cracker and derivative plants, including HDPE and LLDPE units with a combined capacity of 1.08 mln tpa; a 350,000 tpa LDPE unit; and two PP units with a combined capacity of 960,000 tpa.
An estimated 350,000 tpa of LDPE will be made available once Sadara complex in Jubai, Saudi Arabia becomes operational.
The Al-Karaana project in Ras Laffan, will feature a 1.5 mln tpa monoethylene glycol (MEG) plant; a 277,000 tpa oxo-alcohols unit; and a 300,000 tpa linear alpha olefins (LAO) facility. Al-Karaana, which is scheduled to start up in H2-2018, is a joint venture between Shell and Qatar Petroleum (QP).
QP-commissioned RLGAP is expected to produce 1.304 mln tpa of paraxylene (PX), 890,000 tpa of benzene, and 820,000 tpa of pentane, and is due for start-up in H2-2018.
Qatar is the world’s largest exporter of liquefied natural gas (LNG), with natural gas reserves of 885,000 billion cubic feet in 2013, according to the Energy Information Administration (EIA). Qatar enhanced its naphtha and baseoils segments in end-2012, with the start-up of the Pearl Gas-To-Liquids (GTL) project, which is a joint venture between Shell and QP.
28-Oct-14 
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