Celanese to Build Ethanol Plants in China and the U.S.

Celanese Corporation has made plans to construct manufacturing facilities in China and the U.S. to utilize recently-developed advanced technology for the production of ethanol for chemical applications and other industrial uses. Celanese’s process technology builds on the company’s acetyl platform and integrates new technologies to produce ethanol using basic hydrocarbon feedstocks.

“We are very excited about our technology advancement as it allows us to address growing global demand for ethanol in industrial applications,” said Dave Weidman, chairman and chief executive. “The company has successfully integrated newly developed technologies with elements of our proprietary advanced acetyl platform to provide an economically-advantaged solution for global ethanol needs.”

Following necessary approvals, Celanese intends to construct one, and possibly two, industrial ethanol complexes in China to serve the fast-growing Asia region. Initial annual production capacity of each complex is expected to be approximately 400,000 tons. The company could begin industrial ethanol production within 30 months after project approvals. Current chemical application demand for ethanol in China is approximately three million tons annually and is expected to grow between eight percent and 10 percent per year. Celanese’s technology allows capacity to be more than doubled at less than the original investment to meet future demand. The China units would utilize coal as the primary raw material.

Celanese also intends to build an approximately 40,000 ton industrial ethanol production unit at its Clear Lake, Texas, facility in the U.S. for either internal use or merchant demand. The unit will also support continuing technology development efforts over the next several years. Following approvals, construction of the unit is anticipated to begin in mid-2011 and to be completed by the end of 2012. The Clear Lake facility would utilize natural gas as its primary raw material.

For more information visit www.celanese.com.