Chevron Phillips Chemical Company LLC and Qatar Petroleum have signed an agreement to mutually pursue development of a new petrochemical plant in the Gulf Coast region of the United States. The U.S. Gulf Coast II Petrochemical Project (USGC II) will include a 2,000 KTA ethylene cracker and two 1,000 KTA high-density polyethylene units.
Chevron Phillips will be the majority owner with a 51% share and Qatar Petroleum will own 49% of the project. Chevron Phillips will provide project management and oversight and be responsible for the operation and management of the facility. The preliminary cost of USGC II is approximately $8 billion.
Chevron Phillips and Qatar Petroleum expect a final investment decision (FID) no later than 2021, followed by full funding and the award of engineering, procurement and construction (EPC) contracts, with targeted startup of the new facility in 2024.
Image credit: Chevron Phillips Chemical Company LLC and Qatar Petroleum