NOVA Chemicals Growth Strategy
NOVA Chemicals is committed to being the leader in innovation that enables our customers to deliver plastic products that make everyday life healthier, easier and safer. Our strategy leverages our ability to deliver game changing technology and create an exceptional customer experience to help meet the growing consumer demand for polyethylene in the Americas. We believe that passion, innovation, collaboration and behaving in a responsible way fuels our desire to help shape a world where products vital to our health and happiness are even better tomorrow than they are today.
In our pursuit, NOVA Chemicals has several key strategic priorities including:
- Growing significantly beyond our traditionally Canadian production footprint, which includes gaining additional access to the U.S. Gulf Coast feedstock and supplying our customer markets in the Americas.
- Delivering game changing technology that makes tomorrow even better than today.
- Being actively sought after by all of our stakeholders.
Currently, NOVA Chemicals is growing on three fronts to meet our consumers’ demand for plastic products:
Corunna, Ontario - Eastern Canada
Acquisition of Williams' Geismar, Louisiana olefins plant and complex
NOVA Chemicals and Williams Partners recently signed an agreement for the purchase of Williams’ 88.5% interest in the Geismar, Louisiana olefins plant and an undivided ownership in 525 acres undeveloped land adjacent to the plant (collectively, “Geismar”). The total consideration for the acquisition is approximately US$2.1 billion and includes Williams’ interest in the Ethylene Trading Hub in Mt. Belvieu, TX and long-term feedstock supply arrangement.
Read more in our Press Release
Proposed Joint Venture with Borealis and Total
NOVA Chemicals and Borealis recently signed a preliminary agreement to form a joint venture (JV) with Total Petrochemicals and Refining USA that will develop and own a new light feed cracker and a new Borstar® polyethylene (PE) facility in Bayport, Texas, with expected start-up in 2020, pending Board and regulatory approvals.
Key aspects of the JV will include:
- Building a new 2.2 b lb ethylene cracker in Port Arthur, Texas
- Building a new 1.35 b lb Borstar PE plant in Bayport, Texas
- Total’s existing Bayport PE facility, total capacity 880 m lb
Read more in our Press Release.
Since 2014, after a $250-million revamp, NOVA Chemicals Corunna cracker has been able to process up to 100% natural gas liquids (NGLs).
We are now in the process of converting the Corunna cracker to use up to 100% ethane feedstock. A significant amount of work related to this project will be completed during the site’s next scheduled turnaround in August of 2017. The fully converted cracker will use existing ethane feedstock capacity as well as additional feedstock from a second pipeline connection through the Kimball Pipeline Replacement Project. Work on this project is underway, with connectivity by 2018.
NOVA Chemicals recently expanded its PE1 facility to have a third gas-phase reactor and associated equipment. This world-scale reactor allows us to bring additional value to our customers – providing more linear-low density polyethylene (NOVAPOL® resins) to the marketplace to meet the growing demand for products such as: can liners, heavy duty sack, etc.