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Braskem Delta Gains Momentum Towards 2020 Launch as Largest Polypropylene Production Facility in the Americas

Braskem Delta will be the first new polypropylene facility built in North America since 2003, with a global export capacity to serve clients worldwide

(PRNewsfoto/Braskem)

News provided by

Braskem

Oct 14, 2019, 08:00 ET

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PHILADELPHIA, Oct. 14, 2019 /PRNewswire/ -- Braskem (B3: BRKM3, BRKM5 and BRKM6; LATIBEX: XBRK; OTC: BRKMY), the largest polyolefins producer in the Americas and leading producer of biopolymers in the world, today reported continued momentum in the construction of the Company's new Delta polypropylene (PP) production line located in LaPorte, Texas. With $525 million invested to date and mechanical construction now 75% complete Braskem's Delta remains on target to be completed by the first quarter of 2020.

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Delta May 2019
Delta May 2019

Mark Nikolich, Braskem EVP, North America, stated, "It is with great pride and excitement that we announce the continued momentum at our new Delta production line, which is on track to become the largest polypropylene production facility in the Americas. This new world scale facility is a confirmation to our clients worldwide that Braskem is committed to investing in their future plans. As production begins in the first half of 2020, Braskem will be well placed to address the shortfall in U.S. domestic polypropylene market, which is currently being served by imported product. Delta will also directly support Braskem's global export capability to clients throughout North America, South America, Europe, and Asia."

Braskem's new Delta facility will have production capacity of over 450 kilotons (kt) per year, and will have the capability to produce the entire polypropylene portfolio including reactor TPOs. Today, the construction of Delta is positively impacting the economy in the Texas Gulf Coast region, employing approximately 1,300 development and construction workers to fully build out the facility. Upon final completion, the company expects the new production line to bring an additional 50 Braskem permanent full-time jobs to the La Porte community.

"The construction of Delta is a major milestone in terms of further enhancing Braskem's ability to differentiate and deliver product to meet our clients' specific needs. This capability is further strengthened by our existing polypropylene production facilities in Texas (La Porte, Oyster Creek and Seadrift), Pennsylvania (Marcus Hook) and West Virginia (Kenova)," stated Mark Nikolich.

The design and construction of Delta is being developed directly in-line with Braskem's commitment to sustainability and attention to eco-indicators such as emissions, water and energy efficiency, as well as recycling and waste reduction.

Braskem's Delta by the numbers, projected at completion:

  • $675 million of capital investment
  • 1,300 contractor jobs supported during construction
  • 15 acres construction
  • 19,000 cubic yards of concrete
  • 6,100 tons of steel
  • 300 miles of electrical and wiring cables
  • 31 miles of pipe

For additional information on Braskem's new Delta production line, please visit online at www.braskem.com/usa/delta.

For those attending K 2019, the world's number one trade fair for plastics and rubber, being held in Dusseldorf, Germany from October 16 to October 23, 2019, please visit the Braskem team at Booth D27 in Hall 6. Braskem will showcase solutions, technologies and partnerships focusing on Circular Economy and will present its new Digital Center.

ABOUT BRASKEM

Every day, Braskem's 8,000 team members work to improve people's lives through sustainable solutions in chemistry and plastics and engage with partners throughout the value chain to advance the circular economy. With 41 industrial units in Brazil, United States, Mexico and Germany, net revenue of R$58 billion (US$15.8 billion) and exports to around 100 countries, Braskem produces annually over 20 million tons of plastic resins and chemical products.

Braskem America is an indirect wholly owned subsidiary of Braskem S.A. headquartered in Philadelphia. The company is the leading producer of polypropylene in the United States, with six production plants located in Texas, Pennsylvania and West Virginia, an Innovation and Technology Center in Pittsburgh, and a new operation in Boston focused on leveraging groundbreaking developments in biotechnology and advanced materials. For more information, visit www.braskem.com/usa.

ABOUT BLUEVISION

Bluevision was created to represent actions and initiatives that focus on sustainability and which bring a positive impact to the planet and people's lives. It is a platform that shows the capacity of the human being to actively influence the course of the planet through their actions and everyday lives. Through facts, stories and curiosities, Bluevision connects people who are seeking innovative and society-oriented solutions that use resources in an intelligent way. For more information about Bluevision please visit: www.bluevisionbraskem.com 

FORWARD LOOKING STATEMENTS

This press release contains projections and other forward-looking statements (within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended) regarding future events. These statements reflect Braskem's current beliefs and expectations with respect to Braskem's business, the economy and other future conditions and are based on assumptions, subject to risk and uncertainties and are subject to change at any time. Actual events or results may differ materially from those contained in such forward-looking statements. Important factors that could cause actual results to differ materially from the forward-looking statements contained herein include, without limitation: (i) the contraction or lack of growth in the market segments in which Braskem competes and in which its products are sold (ii) unexpected delays in commissioning, (iii) increased competition from imports, (iv) inability to anticipate future market trends and the future needs of Braskem's customers, (v) the impact of natural disasters on Braskem's La Porte facility and its suppliers and(vi) other factors detailed in documents Braskem files from time to time with the Securities and Exchange Commission. Forward-looking statements in this release are made pursuant to the safe harbor provisions contained in the Private Securities Litigation Reform Act of 1995.

Braskem on English social media:
www.facebook.com/BraskemGlobal
                                               
www.linkedin.com/company/braskem
                                                           
www.twitter.com/BraskemSA
           

SOURCE Braskem

Related Links

http://www.braskem.com

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Braskem reports Recurrent Cash Generation of R$265 million in 4Q24; Recurring EBITDA of US$1.1 billion in 2024 (46% higher than 2023)

BRASKEM S.A. (B3: BRKM3, BRKM5 and BRKM6; NYSE: BAK; LATIBEX: XBRK) the largest resin producer in the Americas and the world's leading biopolymers...

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