November 4, 2008
Texas Petrochemicals Announces Expansion of Polyisobutylene Production Capacity
HOUSTON, Nov. 4 /PRNewswire-FirstCall/ -- Texas Petrochemicals Inc., , a Houston based petrochemical company that provides a diverse range of quality products and services into performance, specialty and intermediate manufacturing markets worldwide, today announced it has completed commissioning of its new polyisobutylene (PIB) production unit at its Houston plant site. The plant started on October 6, 2008 and is shipping product to customers.
Using proprietary technology, the plant is designed to produce both highly reactive PIB (HR-PIB), and enhanced PIB (E-PIB), which substitutes for conventional PIB in many applications. The expansion will double the Company's existing production capacity, with a significant portion of this capacity committed to long-term contracted customers, but unreserved capacity is available for new customers seeking to expand their PIB supply.
Texas Petrochemicals is the only merchant producer of HR-PIB in North America, where its application is in lubes and fuel additives, and E-PIB, which is used in a variety of product applications, including caulks, sealants, adhesives and cling film. The Company services PIB markets worldwide, which include both the industrial and the fuel and lubricant additive markets.
"Texas Petrochemicals is committed to being the premier supplier of PIB in North America," said Senior Vice President, Commercial Russ Crockett. "New capacity, a broad range of grades, consistent quality and superior service provide us the opportunity to meet customer needs, as well as grow the business to satisfy a growing demand in the marketplace."
Texas Petrochemicals first entered the PIB market in May 2000 with the startup of its patented process to produce a wide range of PIB products. Since that time, the company has more than doubled its capacity through multiple expansion projects.
The Company's Houston plant manufactures a full range of high-quality polyisobutylene products ranging in molecular weights from 350 to 3500, which service all the major markets including caulks, sealants, adhesives, cling film, lubricant base stocks and personal care. The company is a direct marketer of PIB but also uses national break-bulk distributors. TPI also has an extensive line of highly reactive polyisobutylene products ranging in molecular weights from 350 to 2300, which are especially designed for use as dispersants for lube and fuel additive applications.
Headquartered in Houston, Texas, Texas Petrochemicals Inc. is a premier chemical company with more than $2 billion in annual sales. Its products are sold to a wide range of performance, specialty and intermediate markets, including synthetic rubber, fuel additives, plastics and detergents. The Company has manufacturing facilities in the industrial corridor adjacent to the Houston Ship Channel, Port Neches and Baytown, Texas and operates a product terminal in Lake Charles, Louisiana. For more information, visit the Company's web site at http://www.txpetrochem.com/.
Cautionary Information Regarding Forward-Looking Statements
Certain oral and written information that the company may make publicly available from time to time may constitute forward-looking statements. Such statements may relate to future operating results, existing and expected competition, financing and refinancing sources and availability, and plans related to strategic alternatives or other future expansion activities and capital expenditures. Forward-looking statements involve a number of risks and uncertainties that may significantly affect the company's liquidity and results in the future and, accordingly, actual results may differ materially from those expressed in any forward-looking statements. Such risks and uncertainties include, but are not limited to, those related to effects of competition, leverage and debt service, financing and refinancing efforts, litigation and governmental investigations, environmental laws and regulations, general economic conditions and changes in laws or regulations.
Media Contact: Sara Cronin Investor Contact: Robert Whitlow
Phone: 713.475.5243 Phone: 713.627.7474
Texas Petrochemicals Inc.
CONTACT: media, Sara Cronin, +1-713-475-5243, or investors, RobertWhitlow, +1-713-627-7474, both of Texas Petrochemicals Inc.
Web site: http://www.txpetrochem.com/