The Board of Directors Dow Chemical Company authorized capital for detailed engineering and to purchase long lead-time equipment for a new propylene production facility. The new facility is to be constructed at Dow Texas Operations, as part of the company’s strategy to increase its ethylene and propylene production and connect its operations with low-cost feedstock opportunities available from increasing supplies of shale gas.
The project is expected to begin production in 2015 and the basic engineering work for the facility has commenced. Dow executive vice president and president of Feedstocks & Energy and Corporate Development, Jim Fitterling has said that the “authorization marks yet another significant milestone in Dow’s comprehensive plan to create competitive advantage for our downstream Performance Materials and Advanced Materials businesses by further connecting our U.S. operations with cost-advantaged feedstocks.”