Chevron Phillips Chemical and Qatar Petroleum endorsed an agreement to build an $8bn petrochemical complex on the US Gulf Coast, Chevron Phillips mentioned on Tuesday.
The two should make a final investment resolution on the venture no later than 2021. The complex may begin operations in 2024. Chevron Phillips didn’t specify the place the companies would construct the complicated.
If constructed, the complicated would have a 2m tonne/year cracker and two 1m tonne/year high-density polyethylene (HDPE) units, Chevron Phillips said.
Chevron Philips can be the majority owner with a 51% stake, and Qatar Petroleum would own the rest.
Chevron Phillips would offer to undertake management and oversight. It will even be responsible for the operation and management of the complex.
Chevron Phillips had been considering growing a second advanced within the US because it completed its previous one.
That venture consists of a cracker in Baytown, Texas, and two PE items in Old Ocean, Texas.
That is the second latest deal introduced by Chevron Phillips and Qatar Petroleum. Earlier in June, the two firms had agreed to develop one other joint petrochemical mission in Qatar.
“We’re more than happy to signal this settlement, which is the second of its sort in as many weeks, with our trusted partner, Chevron Phillips Chemical, to further cement the strong partnership between our two firms and to enhance Qatar Petroleum’s international portfolio within the US, which is a core development space for us as we consider it has excellent prospects and development opportunities, according to a statement by Saad Sherida Al-Kaabi, Qatar’s Minister of State for Energy Affairs.