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Old 08-11-2018, 08:01 AM
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Sparx Sparx is offline
 
Join Date: Jun 2007
Location: Alberta
Posts: 507
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Pretty complicated market. Propane is in abundance so not much money to make on it, most of the time just covering the costs to extract it. It's more expensive to distribute it as well especially to residences.
Where the money is in is plastics especially in this day and age obviously in manufacturing.
The company's target the ethane as that pays the bills when extracting gas, propane just comes with it as well as the higher hydrocarbons like butane which also aren't worth much due to being in abundance.
These new plants can take the excess, cheap propane and convert it to Propylene in form of plastic pellets. It will be a first in Canada, as all the propylene is brought in from out of country.
There will be more then one plant like this built by other companies in the Redwater area due to this market commodity.
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