NOVA Chemicals Commences Commercial Operations of its Polyethylene Reactor

NOVA Chemicals Corporation announced the commencement of its LLDPE gas phase reactor at its Alberta site in Canada.

Canada: NOVA Chemicals Corporation, a Canada based multinational company involved in the production of polyethylene, styrenic polymers, monomers, etc. has announced the onset of its new Linear Low Density Polyethylene (LLDPE) gas phase reactor at its Joffre, Alberta site. As per Mr. Chris Bezaire, senior vice-president of NOVA Chemicals, polyethylene business, the new supply of LLDPE from new reactor, would leverage the company’s position as a leading polyethylene supplier across Americas. Additionally, the company’s LLDPE production capacity would be enhanced to more than 450,000 metric tons, which will improve the total polyethylene production capacity of the company to nearly 2.7 million metric tons.

Techsci Research depicts that the onset of new LLDPE reactor is expected to strengthen the company’s position in ethylene market on both global as well as domestic level. Besides, catering to the growing demand for LLDPE in flexible films used in food packaging, heavy-duty sack and can liners, it would help augment the market of ethylene across the globe.

According to the recently published report by TechSci Research, “Global Ethylene Market By End Use (Polyethylene (PE), Ethylene Oxide, Ethylene Dichloride (EDC) & Others), By Region (Asia-Pacific, North America, Middle East & Africa, Europe and South America), Competition Forecast and Opportunities, 2011 - 2025”, the global ethylene market is expected to grow at a CAGR of around 11.26% during 2016-2025, on the back of growing demands for flexible packaging materials, disposable items and expanding real estate & construction sector, globally. Increasing awareness among people about package labelling and its advantages, along with production of light weight automobiles and expanding infrastructure sector in developing countries is expected to result in augmented demand for ethylene and its derivatives. Additionally, lifting of sanctions on Iran and its entry to the global market with abundant crude oil reserves and low cost feedstock availability in conjugation with discovery of shale gas reserves in North America, is expected to lead to higher production capacity of ethylene, globally. Global ethylene market is controlled by three major players, namely – SABIC, The Dow Chemical Company and Exxon Mobil Corporation. Few other players operating in the global ethylene market are Sinopec Corporation, LyondellBasell and Total S.A, France.