BP Chemicals is to increase production of plastics feedstocks at its Grangemouth site in Scotland with projects that will create 1,200 jobs over the next two years.
The company will build a new state-of-the-art polyethylene plant at Grangemouth to produce 300,000 tonnes of low-density polyethylene a year when the facility starts production in 2000. Its capacity will then rise to 400,000 tonnes a year in line with market growth.
BP will also reconfigure its Innovex plant at the site to produce high-density polyethylene as well as the low-density product it currently produces.
The new polyethylene plant will be built next to a 250,000-tonnes-a-year polypropylene plant being built by Appryl, the Elf Altochem/BP joint venture polypropylene company.
The design and construction of both plants is being undertaken by an alliance of BP, Appryl and engineering contractors Technip of France and Amec Process and Energy.
The projects are expected to create 1,200 construction jobs at their peak, and 100 permanent jobs thereafter.
They are part of a £500m programme of petrochemical developments at Grangemouth based on ethane, propane and butane liquid feedstocks from the North Sea’s Central Grabben area.