Local contractors named to $5B Chevron Phillips project


Chevron Phillips Chemical Company LP is still on the fast track for its $5 billion U.S. Gulf Coast petrochemical expansion project, and the company now has gathered a strong team of contractors to support it.

The Woodlands-based chemical company has been open about its plans to dramatically expand its plant operations at its Baytown and Old Ocean complexes since 2011. Now, Chevron Phillips said its board has officially signed off on the projects, and it is quickly moving forward with construction. The faster the company can build the plant expansions, the faster it will be able to take advantage of cheap natural gas, which it uses as a chemical feedstock.

To help construct the expansions, which include a new ethane cracker, two new polyethylene facilities and a 1-hexane plant, Chevron Phillips has awarded contracts to local firms.

A joint venture between JGC Corp. and Fluor Enterprises Inc. (NYSE: FLR) won an engineering, procurement and construction contract to execute Chevron Phillips’ new ethane cracker at its Baytown complex.

Dallas-based Fluor said its Houston-area office will perform the work for the project, which includes hiring the entire construction team for the cracker. The company’s Houston office is also working on the engineering, construction and procurement of Dow Chemical Co.’s (NYSE: DOW) Gulf Coast expansion, which will compete with Chevron Phillips’ expansion projects.

A partnership between Technip USA Inc. and Zachry Holdings Inc. won another engineering, procurement and construction contract for Chevron Phillips’ two new polyethylene facilities at Old Ocean.

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