The Abu Dhabi Polymers Co (Borouge) will invest $40 million to debottleneck the existing Borstar-enhanced polyethylene (PE) capacity from 450,000 to 580,000 tonnes per annum.

The project, which includes expansion of material handling facilities, is to be completed by the second quarter of 2005. In addition, Borouge will assume full offtake of the existing 600,000 tonnes per annum ethylene cracker.
To further develop Borouge, its owners, Adnoc and Borealis, earlier in 2003 signed a Memorandum of Understanding, and are proceeding with a feasibility study for new world-scale cracker and downstream polyolefin plants.
“The feasibility study to expand the Ruwais petrochemical complex is linked to market growth and increased gas production in the region from two Adnoc natural gas developments (OGD-3 and AGD-2) in Abu Dhabi,” said an official statement.
“Significant amounts of ethane equivalent to approximately 1.4 million tonnes ethylene will become available for petrochemical use. The ongoing study is investigating technical and commercial aspects and considering the various options. Conclusions are likely to be reached during 2004 with expected start-up of the new plants in 2008.”
Says Harri Bucht, chief executive officer of Borouge: “By expanding our olefins and polyolefins production, we will achieve greater cost efficiency and sharpen our competitive edge. The planned expansions are a major step in developing Borouge into a leading polyolefins company in the Middle East based on a world-scale petrochemical complex.”
Hubert Puchner, CEO of Borouge pte Ltd, the firm’s marketing arm, says: “We have successfully positioned our products in the targeted markets and applications. Our customers are extremely satisfied with the superior quality of our enhanced PE products using Borealis’ bimodal Borstar technology. 
“We are looking forward to offering more of these valuable products to the market. The demand for polyolefins in the Middle East and Asia is expected to grow annually between six per cent and eight per cent until the year 2010 and will absorb the announced capacity expansions”.