The facility is scheduled to be operational by the second half of 2021. Ground works and basic construction activities are set to begin in the fourth quarter of this year.
In October last year, MOL announced its plans for the “major” polyol project as is part of its 2030 strategy, which aims to make the company “the main ‘polyether polyol and propylene glycol producer in central Europe.’”
MOL has already signed licence agreements with Evonik AG and Thyssenkrupp Industrial Solutions to produce propylene oxide.
The project, said MOL last year, will be its largest investment for the period between 2017-2021 and is aimed at moving the company further along the petrochemical value chain toward semi-commodity and speciality chemical products.
In its 12-Sept statement, MOL said it had increased the scope of the project to include the production of a wider range of end-products than foreseen at the time of the announcement of its new long-term strategy.
“We will be entering a knowledge-intensive, high value-added chemicals market with an innovative and environmentally-friendly technology, allowing us to capitalise on rising regional demand and to exploit additional growth opportunities in CEE [central and eastern Europe),” commented Zsolt Hernádi, MOL Group chairman-CEO.
Also commenting, Marcel Fasswald, chief operating officer of Thyssenkrupp Industrial Solutions AG said the new polyol complex was “an important flagship project” both for Thyssenkrupp and MOL.
“Together we will set standards in terms of efficiency, environmental friendliness and automation by combining proven technologies with innovative solutions,” Fasswald added.
In its 2030 strategy, MOL has identified polyether polyols, which serve as feedstock for polyurethane foam, as the main direction for its petrochemical expansion.
The decision was made due to the wide application of the materials in the automotive, construction, packaging and furniture industries.
Through the investment MOL aims to become a strategic partner of polyurethane producers in CEE.