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OQ Chemicals signs FID to build additional capacity in Bay City

OQ Chemicals signs FID to build additional capacity in Bay City
Michael Peck, CEO of Röhm (left) and Oliver Borgmeier, CEO of OQ Chemicals (right)

Global chemical manufacturer OQ Chemicals has signed a final investment decision (FID) to build additional capacity of propionic aldehyde, as well as infrastructure. This is to support Röhm, one of the leading methacrylate producers, in constructing a world-scale methyl methacrylate (MMA) plant at an OQ Chemicals’ production site. Röhm, based in Darmstadt, Germany, is one of the leading manufacturers in the methacrylate business. 

OQ Chemicals, formerly Oxea, is a global manufacturer of Oxo intermediates and Oxo performance chemicals such as alcohols, polyols, carboxylic acids, specialty esters, and amines.  The company is part of OQ, an integrated energy company originating in Oman.

The new MMA plant has a design capacity of 250,000 tons per year and will utilize Röhms’ latest proprietary LiMA technology. OQ Chemicals will integrate the plant into its production site at Bay City, Texas, U.S.A., and provide raw materials, utilities, and site services to Röhm. 

In February 2021, the two companies signed a memorandum of understanding (MoU) in this regard. Based on the engineering progress of both parties, all other arrangements for construction are now complete. The new plant is slated to be mechanically complete by the first quarter of 2024.