Westlake restarts Petro II ethylene unit

31-Oct-06

Westlake Chemical Corporation has successfully restarted its Petro II ethylene unit in Lake Charles, Louisiana shutdown in September. During this period, the company has completed mechanical repairs to a compressor and related equipment whose failure had led to the shutdown, and has also completed a major turnaround of the unit previously scheduled for late 2006-early 2007. The company was also able to complete portions of its previously announced feed-flex project while the unit was undergoing the turnaround, resulting in reduction of energy costs and additional ethylene capacity. The shutdown has negatively affected operating income due to loss of production in the range of US$25-30 million. The capitalized cost of the turnaround work is estimated to US$25-30 million.