Chevron Phillips secures permits for Gulf Coast expansion plans

Chevron Phillips Chemical Co. has secured regulatory permits for three new Texas production units that it is planning to build.

The company, which is based in The Woodlands, wants to build a 1.5 million metric tons-per-year ethane cracker at its Cedar Bayou facility in Baytown and two new polyethylene facilities, each with an annual capacity of 500,000 metric tons, on a site near its Sweeny facility in Old Ocean, Texas.

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It said Tuesday it has received air permits from the Texas Commission on Environmental Quality for the ethane cracker and polyethylene units. It received a greenhouse gas permit from the Environmental Protection Agency for the cracker earlier this year.

It will seek final approvals later this year. The new units are part of a project that is expected to be completed in 2017.

Chevron Phillips, a joint venture of Chevron Corp. and Phillips 66, said U.S. petrochemical industry expansion has been sparked by shale resource development.

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