The new $3.1 billion petrochemical facility in Lake Charles owned by Lotte Chemical Titan Holding Berhad and Lotte Chemical Corporation came online last month.
The companies announced last week the Lotte Chemical plant has begun commercial operations at its ethane cracker and monoethylene glycol (MEG) plants. The facility is capable of producing 1 million tons per year of ethylene and 700,000 tons per year of monoethylene glycol.
A news release from Lotte Group says it is the first Korean petrochemical company to build and operate a petrochemical complex in the United States. Lotte Group says it will now produce 4.5 million tonnes of ethylene per year, making it the largest domestic and seventh largest producer in the world.
Lotte Chemical USA has an 88% stake in the Lake Charles plant and Westlake Chemical Cororation’s Axiall Corporation holds 12% of ownership.
Half of the ethylene produced at the new facility will be transported to Lotte Chemical USA’s MEG plant for use as a feedstock and Axiall will take the remaining half. MEG is a vital ingredient for the production of polyester fibers and film, polyethylene terephthalate resins and engine coolants.