MOSCOW (MRC) -- Canada's Nova Chemicals remains on target for a late-2015 startup for its Polyethylene 1 expansion project in Alberta, expected to add at least 950 million lbs/year of linear low density (LLDPE) production the plant, reported Apic-online with reference to CEO Randy Woelfel's statement.
The foundation for the new reactor had been poured at the plant, in Joffre, halfway between Calgary and Edmonton, and the reactor was expected to be delivered in early 2014, Woelfel said during Nova's third quarter earnings call.
The Calgary-based company has a current annual LLDPE capacity of 1.48 billion lb/year at the Joffre plant.
Nova generated third quarter profit of CUSD120 million (USD115 million) up from CUSD104 million in Q3 2012, with the increase primarily attributed to operating profit in the polyethylene segment, Woelfel said.
Woelfel said polyethylene sales have been strong in 2013, with a 5 cents/lb increase for LLDPE and LDPE during the third quarter helping to improve profits.
"Through September, we are selling at a pace that could make polyethylene sales the strongest in our history," he said.
For the nine months ended September 30, Nova generated profit of CUSD506 million, compared to profit of USD478 million for the year-ago period, it said.
The year-over-year increase was primarily due to increased operating profit in the Corunna Olefins and Polyethylene segments, partially offset by lower operating profit in the Joffre Olefins segment, the company said.
As MRC informed previously, in early 2013 NOVA Chemicals decided build two polyethylene (PE) plants and expand its ethylene capacity. NOVA has taken several actions to secure additional ethane feedstock supply for its crackers in Corunna, Ontario, and Joffre, Alberta.
Nova Chemical is one of the largest world's petrochemical companies, a manufacturer of polyethylene, styrene polymers, monomers, and many other related products.
MRC