MORE MTBE, TAME PLANTS SCHEDULED IN U.S.

The movement of U.S. refiners into production of reformulated gasoline is spurring expansion of oxygenate capacity.

Companies are positioning themselves to comply with 1990 amendments to the Clean Air Act (CAA), while awaiting issuance of enabling rules. The amendments seek to reduce emissions of unburned hydrocarbons and carbon monoxide (OGJ, Oct. 29, 1990, p. 18).

Blended into gasoline, oxygenates such as methyl tertiary butyl ether (MTBE) and tertiary amyl methyl ether (TAME) promote more complete combustion in internal combustion engines.

U.S. oxygenate capacity by winter 1992 is expected to fall short of peak demand by about 150,000 b/d, as a result of stricter emission limits (OGJ, Nov. 26, 1990, p. 32).

Star Enterpise plans to build MTBE and TAME units at refineries in Delaware City, Del., and Convent, La. Meanwhile, groundbreaking ceremonies have been conducted or scheduled for two 12,500 b/sd MTBE plants in the Houston area:

Global Octanes Corp., a subsidiary of Mitsui & Co., last week broke ground in Deer Park, Tex., for a $200 million MTBE plant.
Tenneco Natural Gas Liquids, a subsidiary of Tenneco Gas, will break ground May 3 for an MTBE plant in LaPorte, Tex. Construction cost is not disclosed.

M.W. Kellogg Co., Houston, is the prime contractor for both plants. Both are to be complete in 1992. The Deer Park plant is Mitsui's first U.S. petrochemical site.

PLANS DETAILED

Design work has begun and environmental permits are being sought for work at Star's Convent refinery, where a 2,500 b/sd MTBE unit and 3,500 b/sd TAME unit are planned. Star plans a 2,350 b/sd MTBE unit and 2,670 b/sd unit for Delaware City. Oxygenate units at Convent are expected to be finished in 1992, Delaware City units in 1993.

Star plans to spend one fourth of its capital budget during 1991 and the next 5 years on environmental projects. However, costs of Star's oxygenate projects at Convent and Delaware City weren't disclosed.

Tenneco NGL produces the two key materials needed to manufacture MTBE, isobutane at the same LaPorte site where the new MTBE plant will be built and methanol at a plant in Pasadena, Tex.

Tenneco will use its existing products pipeline and overland and waterborne distribution systems to deliver MTBE to refineries and shipping terminals near Houston, to whom most of the plant's output will be sold.