– Company’s multizone reactor is a game-changing technology
LyondellBasell (NYSE: LYB) today announced its proprietary Hyperzone polyethylene (PE) plant in La Porte, Texas has achieved full-scale production utilizing the company’s new technology. The Hyperzone PE plant has a unique multizone circulating reactor and proprietary catalyst technologies that use less material to produce stronger, more durable PE, and a more sustainable solution for a wide range of products such as shampoo and detergent bottles, as well as water and gas pipes.
“We have achieved a significant milestone in PE innovation and, in doing so, our Hyperzone PE technology should provide substantial new benefits for our customers,” said Bob Patel, LyondellBasell CEO. “By advancing this concept to commercial-scale reality, our customers have the ability to manufacture lighter weight products without compromising strength, durability and processability, ultimately reducing the amount of plastic required.”
The Hyperzone PE plant demonstrates the company’s ability to deliver value beyond its existing operations. Hyperzone PE technology – using LyondellBasell’s proprietary catalyst – enables production of a much broader spectrum of high-density polyethylene (HDPE) at one single facility. Other technologies require multiple plants to produce the same products. Additionally, because of its scale, Hyperzone PE technology can produce a more cost-effective product. Some Hyperzone PE products will allow customers to add additional post-consumer recycle materials while maintaining the stringent end-use product performance properties.
The Hyperzone story
Hyperzone PE technology was born from LyondellBasell’s global research and development team. The concept was initially tested and further developed at the company’s pilot plant in Ferrara, Italy. Over the years, research teams in Ferrara, Italy; Frankfurt, Germany; Cincinnati, Ohio; and Houston, Texas finalized the proprietary process and catalyst designs that are key to producing differential HDPE resins produced by Hyperzone PE technology.
The company chose to build the new plant at its existing La Porte Complex because of its proximity to price-advantaged U.S. feedstocks and the transportation infrastructure needed to ship product to markets across the globe.
More information about Hyperzone PE technology can be found here: ( https://c212.net/c/link/?t=0&
— The plant is capable of producing 1.1 billion pounds (500,000 metric tons) of HDPE and will more than double annual PE capacity at the La Porte Complex to 2 billion pounds (900,000 metric tons).
— Based on historical margins, Hyperzone PE is estimated to generate $180-$220 million of EBITDA in each full year of operation.
LyondellBasell (NYSE: LYB) is one of the largest plastics, chemicals and refining companies in the world. Driven by its employees around the globe, LyondellBasell produces materials and products that are key to advancing solutions to modern challenges like enhancing food safety through lightweight and flexible packaging, protecting the purity of water supplies through stronger and more versatile pipes, improving the safety, comfort and fuel efficiency of many of the cars and trucks on the road, and ensuring the safe and effective functionality in electronics and appliances. LyondellBasell sells products into more than 100 countries and is the world’s largest producer of polypropylene compounds and the largest licensor of polyolefin technologies. In 2020, LyondellBasell was named to Fortune magazine’s list of the “World’s Most Admired Companies” for the third consecutive year. More information about LyondellBasell can be found at: www.LyondellBasell.com.
The statements in this press release relating to matters that are not historical facts are forward-looking statements. These forward-looking statements are based upon assumptions of management which are believed to be reasonable at the time made and are subject to significant risks and uncertainties. Actual results could differ materially based on factors including, but not limited to, the business cyclicality of the chemical, polymers and refining industries; the availability, cost and price volatility of raw materials and utilities, particularly the cost of oil, natural gas, and associated natural gas liquid; competitive product and pricing pressures; our ability to build and operate new facilities; operating interruptions (including leaks, explosions, fires, weather-related incidents, mechanical failure, unscheduled downtime, supplier disruptions, labor shortages, strikes, work stoppages or other labor difficulties, transportation interruptions, spills and releases and other envi ronmental risks); our ability to successfully execute projects and growth strategies; technological developments, and our ability to develop new products and process technologies. Additional factors that could cause results to differ materially from those described in the forward-looking statements can be found in the “Risk Factors” sections of our Form 10-K for the year ended December 31, 2019, and our Form 10-Q for the quarter ended March 31, 2020, which can be found at www.LyondellBasell.com on the Investor Relations page and on the Securities and Exchange Commission’s website at: www.sec.gov.
SOURCE: LyondellBasell Industries
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