The Westlake Group is a
member of Chao Group, which also includes our sister company, the
Titan Group in Malaysia.
Chao Group is a leading global petrochemical and plastics manufacturer. Strategic vertical integration and operating synergies facilitate the efficient supply of our products to world markets while keeping cost low. These operating strengths help ensure added value, uncompromising quality and dependable supply for our customers.
The Westlake Group owns
and operates facilities for the manufacture of petrochemicals,
plastics, and fabricated plastic products in North America, with
sales on a global basis. Integration of commodity petrochemicals
and intermediates to polymers and fabricated plastic products has
been key to the growth strategy. Westlake has focused on
integration in both the olefins and vinyls markets. The Westlake
Group is comprised of the companies listed below:
Chemicals / Petrochemicals
Westlake Petrochemicals Corporation
Westlake Polymers Corporation
Westlake Monomers Corporation
Westlake PVC Corporation
Westlake Styrene Corporation
Geismar Vinyls, an affiliate of The Westlake Group
North American Pipe Corporation
Ameriflow (PE Pipe)
Engineered Profiles Limited (EPL)
会社名 製品 立地 Lake Charles Calvert City
Westlake Petrochemicals Corporation
Corporation operates a 2.3 billion-pound per year ethylene complex near Lake Charles,
Louisiana. The company was established in 1988, began
construction in 1989, and commenced operation in 1991. The plant
is located on a 320-acre site with ample space for future
expansion and additional projects.
M.W. Kellogg Company designed and constructed the first ethylene unit in 1990. Kellogg's design provides high-energy efficiency and ethylene yield. Among the numerous special features incorporated into the state-of-the-art design is 'millisecond' furnace technology, high horsepower steam turbines, and an advanced microprocessor distributed control system. These features make the production of ethylene very cost competitive. Also incorporated into the design are many features that reduce environmental pollutants, below levels by applicable laws and regulations.
ABB Lummus Crest constructed the second ethylene unit. The unit was placed in service in the 4th quarter 1998. The #2 ethylene unit uses ethane, E/P mix and propane as feedstock. Co-products produced include chemical grade propylene, crude butadiene, and pyrolysis gasoline.
The ethylene plant is connected by pipeline to other Westlake Group facilities and to unaffiliated facilities in the Lake Charles area. It is also connected to Union Carbide's & Shell's ethylene pipeline systems, enabling the delivery of ethylene throughout the Texas/Louisiana Gulf Coast.
The ethylene plants are an important part of the Westlake Group's vertical integration strategy. It supplies feedstock for low-density polyethylene produced by Westlake Polymers Corporation, vinyl chloride monomer produced by Westlake Monomers Corporation and styrene monomer produced by Westlake Styrene Corporation. This vertical integration is not only economically advantageous, but also assures a reliable supply of high-purity feedstock to the downstream Westlake Group Plants.
Established in 1985, Westlake Polymers Corporation acquired the polyethylene manufacturing facilities of Cities Service Company near Lake Charles, Louisiana in 1986. Located on 40 acres, this low-density polyethylene (LDPE) utilizes some of the largest reactors in the industry. Westlake Polymers began production in 1986 with a capacity of 220 million pounds per year. Capacity was expanded in 1988 to 750 million pounds per year and again in 1993 to 850 million pounds per year. One tubular and four autoclave reactors are used in the manufacturing process. The primary raw material for LDPE is ethylene, which can be supplied totally by Westlake Petrochemicals.
Products manufactured by Westlake Polymers include a full range of homopolymer and copolymer LDPE resins. Resins are produced for extrusion coating, blown and cast clarity film, injection molding, blow molding, and fractional melt applications.
Westlake Polymers commissioned its first Linear Polyethylene facility in September, 1998 at Lake Charles, Louisiana, close to its existing, conventional LDPE facility and immediately adjacent to Westlake Petrochemicals, which has ample ethylene capacity to meet the current and future needs of both polyethylene facilities. The Linear Polyethylene plant is one of the newest gas-phase polymerization complexes in the Western Hemisphere. The primary process technology employed is the BP Chemicals licensed InnoveneR, fluidized-bed process coupled with advanced Ziegler-Natta catalyst technology. Two separate production trains have a combined capacity of approximately 550 million pounds per year. All products are manufactured as fully-formulated, pelletized resins, then loaded into Westlake's internally-maintained fleet of railcars for subsequent shipment to a variety of locations throughout North America.
Westlake's planned grade slate encompasses a range of linear polyethylenes for the blown film, cast film and injection molding industries. Consumer and Industrial products manufactured with Westlake's new polyethylene resins include Food Packaging Films, Industrial Liners, Merchandise Bags, Shipping Sacks, Housewares, Food Tubs, Toys, Pails, Industrial Crates, Caps, Closures, Beverage Cups, Sporting Goods and Lawn and Garden implements.
Consistent with Westlake's established approach in the conventional LDPE market, the company's entry into the Linear Polyethylene business has been typified by a highly focused product thrust directed at select end-use applications. A rigorous commitment to specific areas of a highly diversified polyolefins marketplace has allowed Westlake to standout in defined industry segments that benefit from Westlake's process technology and unwavering production standards.
Westlake Monomers Corporation
Corporation acquired its vinyl chloride monomer (VCM) plant from
the B.F. Goodrich Company in 1990. The plant is located within a
300-acre chemical complex in Calvert City, Kentucky,
approximately 15 miles east of Paducah on the Tennessee River. It
is strategically located to serve downstream polyvinyl chloride
facilities located in the Midwest and Northeast United States.
Capacity of the plant is 1.1 billion pounds of VCM per year.
Raw materials for VCM are ethylene and chlorine, which also may be obtained in the form of ethylene dichloride. These raw materials may be purchased from within the chemical complex or brought in by waterway or rail. Through exchanges and tolls, ethylene from Westlake Lake Charles manufacturing facilities may be used as raw material. VCM is shipped to various customer locations, including Westlake PVC Corporation, for polymerization to polyvinyl chloride.
Westlake PVC Corporation
Our polyvinyl chloride
(PVC) resin manufacturing facility in Calvert City, Kentucky is
owned and operated by Westlake PVC Corporation. The plant was
acquired in 1991 and was formerly operated by Air Products and
The Calvert City, PVC plant is located on a 25-acre site. Westlake PVC Corporation benefits from vertical integration as its primary raw material, vinyl chloride monomer, is produced by the Westlake Monomers Corporation plant, approximately one mile away.
PVC is the world's second most widely used plastic; only polyethylene is used in greater volume. PVC is produced in powder form, then combined with other ingredients to create a compound with specific processing and end-use properties. PVC is often used in infrastructure development and building products. In this market, Westlake Group is integrated into the manufacturer of pipe through North American Pipe Corporation. Other end uses for PVC include pipe fittings, vinyl siding, bottles and flexible and rigid film and sheeting uses for packaging, credit cards, floppy diskettes and wall coverings.
Westlake PVC has engaged in a program of modernization to remain competitive in the marketplace. Various projects have increased production capacity, reduced conversion costs, and ensured compliance with all safety and environmental regulations.
Westlake Styrene Corporation
Corporation is located on 11.5 acres of the 320-acre Westlake
Petrochemical complex. The plant started commercial production in
1992. Capacity of the facility is 430 million pounds per year.
Process technology was licensed from Badger Design and Constructors, Inc., which also designed and constructed the facility. The Badger technology is recognized around the world as one of the premier technologies for producing high quality, cost competitive styrene monomer.
The plant design includes the most modern and effective safety and environmental technologies available. These features reduce environmental pollutants to well below required levels and help ensure the safety of plant employees and the surrounding community. In June 1993, the plant achieved the milestone of three years of construction and operation without a lost-time accident.
To meet feedstock requirements, the plant is connected by pipelines to the adjacent Westlake Petrochemicals Corporation plant for ethylene and to another nearby facility for benzene. A 1.5-mile pipeline provides access to the Westlake Group's marine terminal, located on the Calcasieu River about 35 miles from the Gulf of Mexico. A tank farm at the terminal allows for the exporting of styrene by barge or ocean vessel. The dock can accommodate vessels with a draft of 40 feet and lengths of up to 1,000 feet. The marine terminal is located on a 309-acre site with rail facilities. It is ideally suited for future expansion.
Westlake CA&O Corporation
Corporation's Calvert City, Kentucky facilities were acquired
from BFGoodrich in August 1997. In addition to a 400 MM pound
the site includes a chlor-alkali facility with a capacity of 250 MM pounds of
chlorine and 275 MM
pounds of high purity (rayon grade) caustic soda.
Rock salt, the raw material required by the plant, is purchased under a long-term supply arrangement and shipped from the Gulf Coast via barge. Electrical power is purchased from TVA. The Company in the downstream production of VCM effectively uses all its chlorine production. The high purity caustic soda commands a premium price over the more common diaphragm caustic, and is sold to customers in the mid-western U. S.
Westlake's sister company, The Titan Group, is a joint venture of the Chao Group and Permodalan Nasional Berhad (PNB) and is committed to the development of the Malaysian petrochemical industry. Titan built Malaysia's first and largest integrated petrochemicals complex. It is also the first to produce olefins and polyolefins. The Titan Group's complex is an important resource toward meeting the growing demand for petrochemical and plastic products in Malaysia and the Asian market. （Westlake's homepage)
株主 53.2% owned by the Chao Group, 45.5% by
PNB and 1.3% by Sinochem
（54% owned by the Chao group and 46% by PNB との記載もあり）
エチレン Titan Petrochem 630 HDPE Titan PE 100 LLDPE Titan PE 200 LDPE Titan PE 200 プロピレン Titan Petrochem 330 PP Titan PP 370
Titan benefiting much from sister firm in US
Titan committed to invest in Malaysia By P.W. Thong （The Star Online 2002/10/28）
Titan Petrochemical and Polymers Bhd, the country’s biggest private petrochemical company, is committed to invest in Malaysia for many years to come after setting foot in the country more than a decade ago.
Its group managing director James Chao said Titan to date has put in some RM5.5bil for its petrochemical and plastics facilities in Johor.
This is by far the largest integrated petrochemical investment made by its 53.2%-owned shareholder, the Chao Group International of Taiwan.
Permodalan Nasional Bhd and China National Chemical Import and Export Corp (Sinochem) are the other shareholders of Titan. PNB holds a 45.5% stake while Sinochem has a 1.3% interest.
“We think for the business we are in, which is the raw material industry for plastic manufacturing, we have chosen the right location. We can’t be at a better place other than Malaysia.”
“I’m sure we can have lower feedstock in Saudi Arabia or other oil rich producer countries in the Middle East, but we will also incur a certain amount of political risks for being there,’’ Chao said at a media briefing in Pasir Gudang last week.
While Malaysia might not be the best place for labour-intensive operations, he said: “The country has adequate skilled workforce for capital intensive industry such as petrochemicals.”
Furthermore, the Malaysian government has been very supportive and pro-active towards foreign investors such as The Chao Group.
“Hence, we are happy with Malaysia and will remained committed to this country. And I think Malaysia is still a hidden secret, not well-publicised internationally, as a great place to invest in,’’ he added.
In terms of further investments in Malaysia , Chao said Titan, which specialises in naphtha cracker processing and production of a variety of polyethylene (PE) and polypropylene (PP) products, was looking into value added products.
Earlier this month, Titan started to produce metallocene polyethylene, a high-end polymer used by plastic fabricators.
Chao said Titan planned to produce 30,000 tonnes of metallocene polyethylene a year, under the name of Titanceed.
About half of the product would be used for domestic consumption, with the remaining exported to Asia.
“We are the first producer for metallocene polyethylene in Asia. This shows we are not only committed to bring the latest product sophistication and technology into Malaysia, but also that Malaysian plastic fabricators are very sophisticated.
“This is because Malaysia, despite being a small nation, consumes some 10,000 tones of high-end metallocene products every year, which is equivalent to Taiwan and China,’’ Chao said.
He also said Titan, which currently has two naphtha crackers and five polymer plants, had now attained the required critical mass of a global player through economies of scale, product diversification and cost competitiveness equal to top tiered Asian producers.
Titan currently produced about 530,000 tonnes of polyethylene (PE) products, and 370,000 tonnes of polypropylene (PP) products.
Chao sees demand for petrochemical and polymer products to pick up next year, after suffering from industry-wide slump due to the Asian economy crisis and excess capacity.
He said the industry had yet to recovery from the onset of the Asian financial crisis in 1997, and excess capacity, which had not only affected the general prices of PE and PP, but also sent margins dipping below the breakeven price of US$200 per tonne this year.
However, going forward, Chao believed the polymer industry was due for an upturn.
“By all accounts, our industry cycle does not follow the stock market or business cycle, but the capital cycle. And we believe a recovery will come,’’ he said.
Based on the current level of stagnant supply and recovering demand, Chao said the petrochemical and polymer industry would most likely post solid growth next year, with business conditions taking off by 2004.
In particular, he expects growth in the consumption for PE and PP to grow by 5% for Asia this year, while China and Malaysia to post growth of 12% and 8% respectively.
As for Malaysia, Chao sees demand for both PP and PE to double from the current levels by 2006.
Usually, the growth of PP and PE is about 1.5 times a nation’s GDP growth, Chao said. But he cautioned that the optimism would have to take into account such as impending war against Iraq by US, the hike in the oil price, which could potentially dampen demand.
Apart from improved economic conditions, he added that supply of petrochemicals and polymers, which had been stagnant, was also expected recover.
“The industry cycle for petrochemicals and polymers is easily predictable, as it takes three years to add any new capacities,” he said. It normally takes two years to plan, three years to build, and another half a year before starting production.
“Given that, we can usually predict the industry capacity to a certain degree of accuracy. Hence, we are bidding our time in awaiting for the upturn, and hoping that no one will add new capacities,’’ Chao said.
Going forward, Chao said Titan would focus on “de-bottlenecking” exercise and low cost expansion programme, compared with a major capital-intensive expansion.
As for a listing on the KLSE, Chao said the group was still keen on the exercise.
However, he gave little details on the listing timeframe, the size of the initial public offering (IPO) and stressed that the current market sentiment was not conducive for a listing yet.
Malaysia Titan to expand petchem capacity by 10% by 2006
Malaysia's Titan Petrochemical has plans to expand both its naphtha crackers and its downstream petrochemical plants by 10% until around the end of 2005 or the beginning of 2006, a company source said Thursday. Titan would consume the incremental PP and PE output captively, while part of its expanded benzene and toluene production would be exported, the source added. The move is based on forecasts that global demand for plastics will grow 6-8% per annum.
Titan benefiting much from sister firm in US
TITAN Petrochemical & Polymers Bhd, Malaysia's first fully integrated petrochemical complex and the largest integrated olefin and polyolefin producer in the country, has benefited enormously by being able to tap into the technical and management expertise of its sister company in the US.
The Titan group is 54% owned by the Chao group and 46% by PNB Equity Resource Corp Sdn Bhd, a wholly-owned subsidiary of Permodalan Nasional Bhd. The Chao group also wholly owns Westlake Corp, one of the most competitive petrochemical players in North America.
According to Titan vice president (corporate affairs) and company secretary Francis Pereira, close ties between Titan and its US-based sister company Westlake have enabled the Malaysian-based petrochemical company to employ state-of-the-art facilities and achieve low production costs in its plants in Johor.
Titan, with its headquarters in Malaysia, produces ethylene, propylene, polyethylene, and polypropylene. The group has invested some RM5.5bil to date on its petrochemical facilities in Johor's Pasir Gudang and Tanjung Langsat, making it the largest investor in the state and in the petrochemical industry in Malaysia.
Titan is also the 2nd largest single-site polyolefin producer in South East Asia, with annual ethylene and propylene capacity reaching 630,000 tonnes and 330,000 tonnes, respectively, and polymer capacity of 900,000 tonnes per annum.
According to Pereira, the company also has one of the lowest production costs in the region, thanks to the technical and management expertise from Westlake.
He said that one advantage Westlake had over other petrochemical producers was its diverse source of technologies employed.
Westlake senior vice president (administration) David R. Hansen told reporters at a media briefing at the company's headquarters in Houston, Texas, that Westlake had assisted Titan in its initial start-up and commissioning of the RM3.2bil, phase 2 expansion programme between 1997 and 2000.
The US-based group, which is about two-and-a-half times the size of Titan in terms of annual sales, had also seconded some of its workers through an on-going service agreement with the Malaysian company.
Apart from the provision of technical and management expertise, Hansen said, both Westlake and Titan had also been able to share market information on the region's petrochemical and polymer industry and prices.
This in turn has helped both companies to better assess the global petrochemical markets, allowing faster and timely response to changes in the world's demand and supply situation for petrochemicals and polymers.
The Westlake group is a leading producer of commodity petrochemicals and polymers, annually producing the world's most recognised basic chemicals and polymers. Its North American operations comprises three operating business groups, viz olefins, vinyls and fabricated products.
The Olefin business group manufactures ethylene and its derivative, polyethylene, as well as styrene monomer. The vinyls business group is a leading producer of chlor-alkali chemicals, vinyl chloride monomer (VCM) and polyvinyl chloride (PVC).
China's Taita mulls 150 kt/yr ABS investment at Zhongsan （中山）
China's Taita Zhongsan is considering to build an ABS plant at Zhongsan to complement its existing 100,000 mt/yr expandable polystyrene plant there, industry sources said Wednesday. Its decision on whether to proceed with the investment would depend on the availability of butadiene and acrylonitrile feedstocks, they said. They believed that it would be less of a problem acquiring styrene feed. The proposed plant is expected to have a nameplate capacity of at least 150,000 mt/yr, they added.
Taita Zhongsan is a wholly-owned subsidiary of Taiwan's Taita Chemical, which has the capacity to produce 100,000mt of PS, and 60,000mt each of ABS and EPS at Kaohsiung.
Westlake Chemical 2006/9/12
Westlake Chemical Celebrates 20th Anniversary
Westlake Chemical Corporation, the Houston-based international manufacturer and supplier of petrochemicals, polymers and fabricated products, is recognizing its 20th year of business with celebrations at all of its locations beginning today. In addition, the company's operating units will commemorate the anniversary with their local communities, including a "Westlake Community Service Day" at each location where employees will participate in a community service project.
Albert Chao, President and CEO of Westlake Chemical Corporation said regarding the anniversary, "As we celebrate 20 years of business success, we want to give back to the communities where we work and live. We are looking forward to further growth in the years ahead, providing a good place to work, creating the building blocks for products that consumers need and contributing to the communities in which we operate."
Westlake's 20 years of
In 1986, following three decades of success in Asia, the Chao Group entered the U.S. market and began producing polyethylene at its first plant in Lake Charles, La., on Sept. 12. From that beginning Westlake has grown to 14 operating sites with 13 facilities in the U.S., an operation in Alberta, Canada, and a joint venture in Suzhou, China. Westlake founder T.T. Chao's two sons, James and Albert Chao, lead the company today as chairman and president & chief executive office, respectively.
In August 2004, Westlake became a public company that now employs approximately 2,200 and produces 10 billion pounds of products annually with over $2.5b in annual revenue. The company's operations are divided into the vinyls and olefins business segments. The vinyl segment's products include vinyl chloride monomer (VCM), caustic soda, polyvinyl chloride (PVC), and an array of downstream PVC fabricated products such as PVC pipe, fence, window, door and decking components, garden accessories and PVC film. The olefin segment produces and markets ethylene, styrene, propylene, low density polyethylene (LDPE), high density polyethylene (HDPE) and linear low density polyethylene (LLDPE). In addition to producing and marketing products under the Westlake Chemical Corporation name the PVC pipe products are sold through the North American Pipe Company subsidiary and the other PVC components are manufactured and marketed through Westech Building Products.