Thursday, October 22, 2015
Taiwan’s Formosa Petrochemical Corp. is studying the feasibility of constructing a $9.4-billion industrial complex in St. James Parish, La. The company would build two project phases to produce ethylene and other downstream chemical products. The final investment decision, expected by mid-2016, will determine the final capital investment figure for the project, under which Formosa would create 1200 new direct jobs with an average annual salary of $84,500. Louisiana Economic Development estimates the project would also result in 8000 new indirect jobs for a total of 9200 new jobs in the state.
Upon completion of both project phases, which would be built on the west bank of the Mississippi River near the Gramercy Bridge, Formosa would have developed one of the largest single-site ethylene production complexes in the world. “This tremendous capital investment signals that the many reforms we have installed to improve Louisiana’s business climate are succeeding—from our tax structure to workforce development programs to school choice and governmental ethics,” said Louisiana Gov. Bobby Jindal. “This project is also a testament to Louisiana’s ability to deliver world-class infrastructure and logistics solutions that attract the world’s most important and innovative companies.”
Formosa Petrochemical, a member of the Formosa Group, would develop the project with an ethane cracker and downstream plants in an initial phase, followed by a doubling of those capacities in the second phase. The facility would convert ethane to ethylene and then produce polyethylene, with customized outputs of low- and high-density polyethylene, ethylene glycol, polypropylene, and other derivatives. Formosa Group has operated in Louisiana since 1981, and has three plastics manufacturing locations in East Baton Rouge and Pointe Coupee parishes.
Should the company move forward, Formosa would begin development of the initial phase in 2016, with plant hiring in 2018. The second-phase ethane cracker and downstream chemical plants would begin construction in 2022, following completion of the first phase. Formosa Petrochemical Corp. operates Taiwan’s only privately owned oil refinery and naphtha cracking complex. The company engages in global industrial activities that include oil refining, petrochemicals, plastic raw materials, secondary processing of plastics, electronic materials, machinery, and transportation.
Upon completion of both project phases, which would be built on the west bank of the Mississippi River near the Gramercy Bridge, Formosa would have developed one of the largest single-site ethylene production complexes in the world. “This tremendous capital investment signals that the many reforms we have installed to improve Louisiana’s business climate are succeeding—from our tax structure to workforce development programs to school choice and governmental ethics,” said Louisiana Gov. Bobby Jindal. “This project is also a testament to Louisiana’s ability to deliver world-class infrastructure and logistics solutions that attract the world’s most important and innovative companies.”
Formosa Petrochemical, a member of the Formosa Group, would develop the project with an ethane cracker and downstream plants in an initial phase, followed by a doubling of those capacities in the second phase. The facility would convert ethane to ethylene and then produce polyethylene, with customized outputs of low- and high-density polyethylene, ethylene glycol, polypropylene, and other derivatives. Formosa Group has operated in Louisiana since 1981, and has three plastics manufacturing locations in East Baton Rouge and Pointe Coupee parishes.
Should the company move forward, Formosa would begin development of the initial phase in 2016, with plant hiring in 2018. The second-phase ethane cracker and downstream chemical plants would begin construction in 2022, following completion of the first phase. Formosa Petrochemical Corp. operates Taiwan’s only privately owned oil refinery and naphtha cracking complex. The company engages in global industrial activities that include oil refining, petrochemicals, plastic raw materials, secondary processing of plastics, electronic materials, machinery, and transportation.
