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Motiva Ceases Plans for Multibillion Dollar Petrochemical Expansion in Texas

Saudi Aramco owned Motiva Enterprises LLC has reportedly suspended its plans to implement petrochemical operations at its 630,000 barrel per day refinery complex in Port Arthur, Texas. Saudi Aramco has been reviewing this plan since last September as the company has been deliberating on increasing its oil and natural gas production instead.

Motiva had been planning to add a $4.7 billion steam cracker, a $1.7 billion aromatics unit, and another project for polyethylene production for approximately $2.7 billion at the Port Arthur Refinery, but all these plans have been shelved for now.  All these projects were in early stages of development and no construction had begun.  These projects have been on hold since 2019, and this week’s reporting appears to have stopped any further progress for the time being.  Regarding this plan suspension, Motiva stated that it does not comment on market rumors or speculation, so plans for this expansion could indeed be revisited by the company. If Motiva did restart development here, it would likely be without the $4.7 billion cracker project. 

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