Dow Chemical Restarts St. Charles Olefins Plant
January 7, 2013
Dow Chemical Co. (DOW) said it has restarted its St. Charles Olefins 2 Plant in a move that the chemical giant expects will help lower costs and strengthen its competitiveness.
According to Dow, the St. Charles plant located near Hanville, La., began producing on-spec ethylene on Dec. 25, meeting previously announced goals to restart the site by the end of 2012.
"This action further reduces the company's purchased ethylene, lowering costs and strengthening the competitiveness of our high-margin, high-growth derivatives businesses," said Brian Ames, president of Dow Olefins, Aromatics and Alternatives.
The company said the move is part of its investment plan to further connect its U.S. operations with cost-advantaged feedstocks from increasing supplies of U.S. shale gas.
The St. Charles plant, which was idled in January 2009, is expected to deliver a $150 million increase in EBITDA in 2013, said the company.
Shares rose 1.1% to $33.99 premarket. The stock is up 11% over the last 12 months.
Source: Dow Jones Newswires
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