Construction of polyethylene plant in Qatar

Construction of a $3.2 billion plant to produce polyethylene is under way at Mesaieed Industrial City, about 25 miles south of Doha in Qatar.

The Qatofin plant will produce about 450,000 tons of linear low-density polyethylene (LLDPE) per year.

The plant’s operations are expected to start in the fourth quarter of 2008. The facility is projected to process 422,000 tons of ethylene and 38,000 tons of butene-1 annually.

LLDPE is in demand worldwide, often cited for thinner films with better environmental stress cracking resistance. It also has proven resistance to chemicals and ultraviolet radiation and has good electrical properties.

LLDPE is used for manufacturing plastic bags and sheets, plastic wrap, toys, lids, pipes, buckets and containers, flexible tubing, and geomembranes.

Marketing from this plant will primarily be in Asia and Europe, according to Qatofin sources.

Qatofin is a joint venture with Qapco (63%), Total Petrochemicals (36%), and QP (1%).

Qatar is located midway along the western coast of the Arabian Gulf.