Braskem Idesa hails production milestone at Etileno XXI plant

Bnamericas Published: Tuesday, January 07, 2020
Braskem Idesa hails production milestone at Etileno XXI plant

Mexican petrochemical company Braskem Idesa has reached a milestone in polyethylene production, announcing it generated 3Mt of polyethylene at its Etileno XXI petrochemical complex (pictured). 

The US$5.2bn facility, located in Nanchital, Veracruz state, was built as a joint venture between Brazilian petrochemical firm Braskem and Mexican group Idesa, and started up polyethylene production in April 2016.

The cumulative production over this period represents significant import substitution and export generation, read the announcement, with an impact on the firm’s local currency holdings equivalent to US$3.4bn.

Braskem Idesa said the efforts also resulted in the launch of the first domestically high-density polyethylene resin (HDPE) into the Mexican market, part of the company’s green agenda. 

Brazil's Braskem said in its 3Q19 earnings conference call that the Mexican project was currently on a “fast track” to import more ethane with efforts underway by end-2019. 

To do so, Braskem Idesa is investing US$2.4mn in logistics infrastructure to import ethane from the US in order to allow its cracker to run at higher utilization rates.  

The fast track solution, said Braskem, consists in receiving liquid US ethane and then moving it by truck to the plant where it will be degasified for use in the production process.

Braskem Idesa has also said it would build an ethane import terminal in Coatzacoalcos, Veracruz. Although the project is still under discussion, it is expected to help solve the current ethane gas deficit, according to local media reports in September.

In November, the finance ministry further reported that the project would entail an investment of about 3.2bn pesos (US$170mn) and could be executed in 2020 once state oil company Pemex defines the use of the property.

Subscribe to the leading business intelligence platform in Latin America with different tools for Providers, Contractors, Operators, Government, Legal, Financial and Insurance industries.

Subscribe to Latin America’s most trusted business intelligence platform.

Other projects

Get key information on thousands of projects in Latin America, from current stage, to capex, related companies, key contacts and more.

  • Project: Zone 2
  • Current stage: Blurred
  • Updated: 4 years ago

Other companies in: Petrochemicals (Mexico)

Get critical information about thousands of Petrochemicals companies in Latin America: their projects, contacts, shareholders, related news and more.

  • Company: Grupo Kuo S.A.B. de C.V.  (Kuo)
  • Grupo Kuo S.A.B. de C.V. is a Mexican chemical, automotive and food conglomerate founded in 1973. Its chemicals area comprises the operations of Industrias Negromex, Resirene, N...
  • Company: Grupo Infra
  • Grupo Infra is a mexican conglomerate of companies engaged in the production, sale and distribution of different kind of gases, such as cryogenic, industrial, high-purity, speci...
  • Company: Eucomex, S.A. de C.V.  (Euclid Mexico)
  • Euclid México provides chemical products for uses in civil engineering projects and industrial sites. Euclid México has been operating in Mexico for over 22 years and its produc...
  • Company: ProMexico
  • ProMexico serves as the bridging entity between the Mexican market and the world regarding both imports and exports. Through its network of 48 offices in 31 countries, ProMexico...