SINGAPORE--(BUSINESS WIRE)--ExxonMobil Chemical announced today that it will build facilities to manufacture premium halobutyl rubber and Escorez hydrogenated hydrocarbon resin at its recently expanded petrochemical complex in Singapore. Engineering and procurement activities have begun, with construction expected to begin in the second half of 2014 and completion anticipated in 2017.
The company is a major supplier of halobutyl rubber to the global tire industry, and this expansion project will add production capacity of 140,000 tons per year. The hydrogenated hydrocarbon resin production unit will be the world’s largest, with a capacity of 90,000 tons per year, to meet long-term demand growth for hot-melt adhesives.
“Our expanded steam cracking capability at Singapore provides a platform for growth through a wide range of petrochemical building blocks that can be further upgraded to specialty products,” said Steve Pryor, president, ExxonMobil Chemical Company. “We continue to invest in expanding capacity at our strategic hub in Singapore, which is an ideal location to efficiently serve the fast growing Asia Pacific market.”
With 75 years of experience in butyl rubber production and sales, ExxonMobil’s halobutyl products provide outstanding air retention for tires. According to ExxonMobil’s Energy Outlook, the global number of cars and light trucks is expected to double by 2040 to 1.7 billion vehicles, which supports much of the growth expected for halobutyl rubber.
Since the 1970s, ExxonMobil has been an industry leader in process technologies and capacity expansions of specialty tackifiers and polymers for the adhesives industry. Hydrogenated tackifier demand is expected to double over the next 15 years. Much of the growth is anticipated in Asia, where packaging, woodworking and nonwovens manufacturers increasingly use hot melt adhesives.
Note to the editors:
Statements relating to future plans, projections, events or conditions are forward-looking statements. Actual results, including project plans, costs, timing, capacities, and economic impacts, could differ materially due to factors including: changes in oil or gas prices or other market or economic conditions affecting the oil, gas and petrochemical industries, including the scope and duration of economic recessions; changes in law or government regulation, including tax and environmental requirements; the outcome of commercial negotiations; changes in technical or operating conditions; and other factors discussed under the heading "Factors Affecting Future Results" in the “Investors” section of our website and in Item 1A of ExxonMobil's 2012 Form 10-K. We assume no duty to update these statements as of any future date. The term “project” as used in this release does not necessarily have the same meaning as under SEC Rule 13q-1 relating to government payment reporting.
About ExxonMobil Chemical
ExxonMobil Chemical is one of the world’s premier petrochemical companies with manufacturing, technology, and marketing operations around the world. The company delivers a broad portfolio of products and solutions efficiently and responsibly, with a commitment to create outstanding customer and shareholder value. ExxonMobil Chemical endorses the principles of sustainable development, including the need to balance economic growth, social development and environmental considerations.
To learn more, visit www.exxonmobilchemical.com.