Monday 21 September 2020
News ID: 65059
Publish Date: 21 April 2019 - 22:27

NEW YORK (Dispatches) - Middle East polyethylene capacity is expected to increase from 20.80 mtpa in 2018 to 28.52 mtpa in 2023 at an average annual growth rate (AAGR) of 6.3 per cent, according to data and analytics company GlobalData
Iran’s capacity will add around 5.54 mtpa by 2023. Major capacity additions will come from the plants, Total NPC Hormozgan Polyethylene Plant One and Total NPC Hormozgan Polyethylene Plant two, each with a capacity of 0.50 mtpa by 2023.
Dayanand Kharade, oil and gas analyst at GlobalData, said, "For North America and Middle East, the low-cost abundant supply of natural gas is the primary reason for the rush in polyethylene capacity additions. In addition to feedstock advantage, target exports to other American countries are also the reason for large capacity additions in the U.S. Iran, on account of cheaper feedstock and proximity to booming Asian markets, is set to add large capacity in the upcoming period.”
GlobalData identifies Africa as the fifth highest polyethylene capacity additions in the global polyethylene industry.
Global polyethylene capacity is expected to see significant growth over the next five years, rising from 110.12 mtpa in 2018 to 157.02 mtpa in 2023, recording a total growth of 43 per cent, led by Asia and North America, Global Data added.
The company’s report: ‘Global Polyethylene Industry Outlook to 2023 – Capacity and Capital Expenditure Forecasts with Details of All Active and Planned Plants’ revealed that around 159 planned and announced plants are scheduled to come online, predominantly in Asia and the Middle East, over the next five years.
GlobalData identifies Africa as the fifth highest polyethylene capacity additions in the global polyethylene industry, rising from 2.05 mtpa in 2018 to 4.70 mtpa in 2023, at an AAGR of 16.6 per cent. Egypt is leading capacity additions in Africa and a capacity of 1.35 mtpa is expected to be added by 2023.
Badlands NGLS LLC, Oil and Natural Gas Corp Ltd and Royal Dutch Shell Plc are the world’s top three companies in terms of planned capacity additions over the outlook period.
The report also stated that the three highest planned and announced global polyethylene capacity addition plants in the outlook period are ‘Bharat Petroleum Corporation Rasayani Polyethylene Plant’ in India, ‘Far East Petrochemical Company Nakhodka Polyethylene Plant’ in Russia, and ‘HPCL Rajasthan Refinery Pachpadra Polyethylene Plant (Swing)’ in India with capacity of 1,50 mtpa, 0,88 mtpa and 0.83 mtpa, respectively.

* Comment: