OxyChem Plans $145 Million Geismar Expansion

May 3, 2016
The project includes equipment for producing a new raw material to make climate-friendly refrigerants.

Louisiana Governor John Bel Edwards and Occidental Chemical Corp (OxyChem) President Rob Peterson announce a $145 million expansion of the company’s Geismar manufacturing plant. The project includes equipment for producing a new raw material to make climate-friendly refrigerants. OxyChem will reportedly create 12 new jobs with an average salary of $80,000 a year, in addition to retaining 400 OxyChem employees and contractors who now work at the Geismar plant. Louisiana Economic Development estimates the project will result in another 37 new indirect jobs.

Based on the company’s research and development, the new product will enable the efficient production of next-generation refrigerants, which have low global-warming and ozone depletion potential, according to OxyChem.

In Louisiana, OxyChem manufactures and distributes chlorine, caustic soda (sodium hydroxide), hydrogen, chlorinated organics, ethylene dichloride and potassium hydroxide. In addition to Geismar, OxyChem has facilities in Convent, Luling and Hahnville, where it also generates surplus electricity. OxyChem’s operations in Louisiana reportedly account for approximately 1,000 jobs, including employees and contractors.

Construction work for the expansion will begin in May 2016 with completion anticipated in late 2017. The company estimates the Geismar expansion also will create 250 construction jobs at peak building activity. OxyChem is expected to utilize Louisiana’s Quality Jobs and Industrial Tax Exemption incentive programs.

For more information, visit www.oxychem.com

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