Dow to Increase Ethanolamines Capacity

The 100-million pound (45,000 metric ton) ethanolamines nameplate capacity expansion planned at the St. Charles Operations (SCO) site, owned by Union Carbide Corporation (UCC), a wholly owned subsidiary of The Dow Chemical Company, in Hahnville, Louisiana that was announced in October 2006 for completion in 2007, will be delayed until the second half of 2008. The decision to delay the project is due to tight labor supply throughout the Gulf Coast.

Kevin Dillan, global business director for Amines at Dow, comments, “As a global leader in ethanolamines, Dow is very committed to the expansion in Louisiana. We are currently evaluating the best options to complete the expansion as soon as possible. Expanding our facilities is consistent with our strategy to invest in our business, to support the growing global demand for these products, and to continue to be a low cost provider of ethanolamines. In addition, this strategic investment further demonstrates our dedication to servicing the needs of our customers.”

When completed, this expansion will increase the company's total Ethanolamines nameplate capacity on the US Gulf Coast to nearly 800 million pounds (358,000 metric tons). Dow also participates in the Asia-Pacific region via the 165 million pounds (75,000 metric tons) ethanolamine unit at OPTIMAL Chemicals (Malaysia) Sdn. Bhd, a joint venture of Union Carbide and Petroliam Nasional Berhad (Petronas). When completed, Dow will have nearly 1 billion pounds (454,000 metric tons) of nameplate capacity to serve the growing needs of customers worldwide.

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