Sasol Announces Beneficial Operation of World-scale Louisiana Ethane Cracker

Three units now online comprise more than 60% of LCCP's total output

LAKE CHARLES, Louisiana, Aug. 28, 2019 /PRNewswire/ -- Sasol today announced our world-scale U.S. Ethane Cracker reached beneficial operation on 27 August 2019. Sasol's new Cracker, the heart of our Lake Charles Chemicals Project (LCCP), is the third and most significant of the seven LCCP facilities to come online and will provide feedstock to our six new derivative units at our Lake Charles multi-asset site.

"The Cracker is the cornerstone of Sasol's transformation into a global chemicals company," said Sasol Joint President and Chief Executive Officer Stephen Cornell. "It solidifies our presence in the United States and will anchor our operations there for decades to come."

Sasol's Lake Charles Ethane Cracker, which uses Technip Stone & Webster technology, is one of the largest in the world with a nameplate capacity of 1.54 million tons per year. Approximately 90% of the Cracker's ethylene output will be further processed into commodity and high-margin specialty chemicals for markets in which Sasol has a strong position, underpinned by collaborative customer relationships.

The ethylene produced in the facility will be used in six downstream plants on site to produce a range of high-value derivatives including ethylene oxide, mono-ethylene glycol, ethoxylates, low density and linear low density polyethylene, and Ziegler and Guerbet alcohols. Sasol's customers use these products as ingredients in detergents, fragrances, metalworking and lubrication fluids, abrasives, paints and coatings, film, food packaging, personal care products and many more applications and end-markets. The remaining 10% of the ethylene will be sold on the merchant market and supply Sasol's share of our high-density polyethylene (HDPE) joint venture with INEOS in Texas.

The utilities and infrastructure systems that enable the entire project are fully operational. The Linear Low Density Polyethylene and Ethylene Oxide/Ethylene Glycol units achieved beneficial operation earlier this year. The Low Density Polyethylene unit is expected to achieve beneficial operation by November 2019, while the Ziegler Alcohol, Ethoxylates and Guerbet alcohol units are on track to achieve beneficial operation in early 2020.