BASF to launch second phase of MDI production facility in Geismar

BASF to launch second phase of MDI production facility in Geismar
BASF facility in Geismar

ASCENSION PARISH, LA (WAFB) - BASF is set to enter its second phase in expanding its chemical complex in Geismar.

Louisiana Gov. John Bel Edwards and BASF Senior Vice President Stefan Doerr announced Thursday of the company’s expansion for methylene diphenyl diisocyanate, or MDI, at the chemical complex.

Construction is expected to start by the end of 2019 with completion scheduled for 2021. The company estimates the project will support 170 construction jobs.

In the formal announcement, BASF is expected to double its production of MDI, from 300,000 metric tons to around 600,000 metric tons, through the multiphase expansion project that was in January 2018.

Industrial customers uses MDI to produce polyurethanes. The chemical is used to improve insulation for appliances, lighter materials for cars and energy efficiency in buildings.

BASF will spend $87 million capital investment to continue the expansion of the MDI plant. The company has already spent $150 million for the first phase of the expansion.

That project is expected to be finalized in the first half of 2020. The second phase of the project will keep 1,238 existing BASF jobs at Geismar.

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