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Rail News: Shippers

Sasol to build $8.1 billion chemical manufacturing complex in Louisiana


South African chemical and energy company Sasol Ltd. recently announced plans to build an $8.1 billion ethane cracker and derivatives complex at its existing site in Lake Charles, La.

Featuring six chemical manufacturing plants, the complex will produce 1.5 million tons of ethylene annually. Sasol also plans to spend $800 million on infrastructure and utility improvements, and land acquisition to establish the Lake Charles complex as an integrated, multi-asset site.

"This world-scale petrochemicals complex will roughly triple our chemical production capacity in the United States, enabling Sasol to further strengthen its position in a growing global chemicals market," said Sasol President and Chief Executive Officer David Constable in a press release. "The Gulf Coast’s robust infrastructure for transporting and storing abundant, low-cost ethane was a key driver in our decision to invest in America."

The complex will have access to the Port of Lake Charles, existing pipeline infrastructure, interstates and rail. The port is served by BNSF Railway Co., Kansas City Southern and Union Pacific Railroad.

Contact Progressive Railroading editorial staff.

More News from 11/13/2014