By Monica Houston-Waesch
FRANKFURT--BASF SE said Thursday it has selected Freeport, Texas
as a potential site for its methane-to-propylene complex in the
U.S., but the project still pends approval by the executive board
next year.
BASF has contracted Air Liquide to provide basic engineering
services for the complex. BASF said it will use Air Liquide's
proprietary Lurgi MegaMethanol and methanol-to-propylene
technologies.
In the past, BASF has said it is considering investing about
$1.4 billion in a new natural gas-to-propylene conversion complex
on the U.S. Gulf Coast, allowing it to exploit cheap shale gas.
The plant would have annual capacity of around 475,000 metric
tons of propylene and would be the company's largest single
investment to date, BASF reiterated Thursday.
Separately, BASF confirmed in February plans to build an ammonia
plant with Norway's Yara International ASA at BASF's site in
Freeport. BASF will own a 32% stake in that facility, with total
capital investment estimated at about $600 million, according to
the company.
Write to Monica Houston-Waesch at nikki.houston@wsj.com
Subscribe to WSJ: http://online.wsj.com?mod=djnwires