Expansion Strategy Chevron Phillips Chemical to Build New PAO Unit in Belgium

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With the rise in demand for polyalphaolefins (PAO) across the globe, Chevron Phillips Chemical has plans to expand its production capacity by establishing a new plant in Belgium. On completion, the project is expected to double the company’s PAO production capacity to 120,000 MT in the country.

Texas/USA – Chevron Phillips Chemical (CP Chem) has plans to expand its polyalphaolefins (PAO) business with the construction of a new unit in Beringen, Belgium. Once local permits are approved, this significant investment will double the company’s PAO production capacity in Belgium (to 120,000 MT) upon targeted startup in 2024.

PAOs are specially designed chemicals made from alpha olefins. They are used in many synthetic products such as lubricants, greases, and fluids and have emerged as essential components in applications including automotive, industrial, cosmetics, technology, and military use.

“Our Beringen plant has a long history of safe, reliable production of PAOs and of serving our customers with excellence,” said Mitch Eichelberger, executive vice president of polymers and specialties. “The construction of a new unit near our existing assets will allow us to benefit from strong local expertise and leverage Belgium’s central position to meet customer needs globally.”

PAOs help reduce energy consumption through efficient lubrication; by reducing friction, they can lower fuel consumption and emissions. The growing demand for PAOs is fueled by the performance of these molecules at extreme temperatures, and also by new applications such as electric and fuel-efficient vehicles and heat transfer fluid.

“Increased production from this new investment will be critical to support growing demand at a time of great innovation in several sectors that require PAOs,” said Antoine Janssens, Europe Africa region general manager.

Ideally located in the heart of Europe, the new PAO unit will enjoy significant advantages in infrastructure, feedstock availability, and operational expertise. With this new investment, the company is reinforcing its commitment to being the supplier of choice for its growing global customer base.

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