Axiall and Korean firm Lotte Chemical have decided to defer a final investment decision on a $2 billion ethane cracker in Westlake, La. Via the American Press, Axiall CEO Paul Carrico said uncertainty in U.S. energy, feedstock and labor markets drove the decision. Carrico did not say when an investment decision would be made. The firms recently completed a front-end engineering and design study for the project.
It is the second major U.S. downstream project to be put on hold since oil prices began to tumble last year. Last month, Sasol said it would delay a decision on a $14 billion gas-to-liquids facility in Lake Charles, La., due to low oil prices.
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