Sasol Chemicals and HELM have entered into a long-term marketing agreement for ethylene glycols. The marketing agreement between Sasol and HELM comes into effect upon the start-up of Sasol’s new ethylene oxide and ethylene glycol (EO/EG) units in Lake Charles, Louisiana, USA.

Ethylene glycol is an organic compound with the formula (CH₂OH)₂. It is mainly used , as a raw material in the manufacture of polyester fibers and for antifreeze formulations.  In the plastic industry, ethylene glycol is an important precursor to polyester figres and resins. Polyethylene terephthalate, which is used to make plastic bottles for soft drings, is prepared from ethylene glycol.

Sasol’s EO/EG unit has a nameplate capacity of 250,000 mt/year for monoethylene glycol (MEG) with associated higher glycols production. HELM will market and distribute products in North America as well as in the different export markets globally.

The Ethylene Glycol production is part of Sasol’s US Mega Project including a 1.5 mmt/year ethane cracker as well as six downstream chemical production units. The start-up for the first units is planned for the second half of 2018.

Fried Hansen, Senior Executive Manager Business Unit Feedstocks at HELM AG emphasises the importance for Sasol and HELM: “Sasol benefits from our global presence combined with our logistical functions and our sustainable and reliable off-take. With this long-term marketing agreement we strengthen our position in all ethylene glycols and underline our ambitious growth plans in this business”.

Mike Clark, Vice President Organics at Sasol Performance Chemicals adds: “Combining Sasol’s feedstock advantage and world class manufacturing capability with Helm’s global reach and experience with glycols marketing will maximize our shareholder value for the foreseeable future”.