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Pembina Pipeline, Kuwait Petroleum study plans to build integrated polypropylene facility in Alberta

PembinaPipeline Corp. said it will conduct a joint feasibility study withKuwait Petroleum Corpsubsidiary Petrochemical Industries Co. K.S.C. to evaluate the development of acombined propane dehydrogenation and polypropylene upgrading facility inAlberta.

The study intends to determine the project's economicfeasibility and its alignment with each party's respective investment criteria,according to Pembina's April 11 news release.

Pembina said the project could consume approximately 35,000barrels per day of propane and produce up to 800,000 tonnes of polypropyleneper year.

The study is expected to take approximately six months,followed by Pembina and Petrochemical Industries' approval to proceed to frontend engineering design. The final investment decision is expected by mid-2017,and upon necessary approvals, the project is expected to be in service by 2020.