Total sanctions major project to modernize Antwerp refining and petrochemical platform

Total has approved a €1 billion (US$ 1.31 billion) modernization project of its Antwerp production facilities, Total’s largest European refining and petrochemical platform. The move comes as part of the group’s strategy to focus its investment on large integrated platforms to position them among the most competitive in the industry.
“The approval of this upgrade plan is a milestone for the further development of the Antwerp facilities into one of the most profitable platforms of the refining and chemicals business of Total,” commented Patrick Pouyanné, president of Total Refining & Chemicals.
“With this investment, Total is demonstrating not only its commitment to maintaining its position as a competitive industry leader in Europe but also its ability to adapt to market trends by reducing its production capacities and emphasizing higher value-added products that meet the most stringent environmental standards.”
Two major projects will be implemented in the near future. The first is a new refinery upgrading complex, consisting of a solvent de-asphalting unit and a mild hydrocracking unit. Intended primarily to convert heavy fuel oil into desulfurized diesel and ultra low sulfur heating oil, the planned complex is a response to the shift in demand toward products with a lower environmental impact. The facility is scheduled to start up in early 2016.
Also in the works is a new plant, which will convert low value refinery fuel gases into low cost petrochemical feedstock, replacing expensive oil-based naphtha. The facility is scheduled to start up in early 2017.
Within the framework of the company’s modernization plan, two existing production facilities will be shut down, as they are no longer competitive in the world economic environment. The smallest and oldest steam cracker, currently idled due to lack of markets, will be permanently stopped and dismantled. And, the smallest and oldest polyethylene production line will be closed at the end of 2014, once an investment in other polyethylene lines to produce a new range of innovative polymers has been completed.
The Antwerp platform’s workforce will remain unchanged at around 1,700 people. Employees working in the facilities scheduled for shutdown will all have the opportunity to move to the platform’s newly created production facilities.
Total has three production facilities in the port area of Antwerp that form an integrated refining and petrochemical platform which produces various petroleum products, such as fuel oil, gasoline, LPG, diesel fuel, and jet fuel, as well as base chemicals including olefins, C4 fractions, and aromatics, some of which are used to manufacture polymers like high density polyethylene.
Total is one of the largest integrated oil and gas companies in the world, with activities in more than 130 countries. Its 97,000 employees put their expertise to work in every part of the industry, from exploration and production of oil and natural gas, to refining and marketing, new energies, trading and chemicals.
(May 22, 2013)