Borouge Advances 230,000 Tonnes/Year UAE Cracker and 750,000-Tonne Belgium PDH2

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Borouge Advances 230,000 Tonnes/Year UAE Cracker and 750,000-Tonne Belgium PDH2

Updated on Nov 05, 2026, 03:36 AM IST
Written & Edited by Harikesh VA

Borouge International, the world's largest pure-play polyolefin producer, announced on 4 November 2026 significant progress across its major growth projects in the UAE and Europe, advancing its global expansion ambitions as it targets 13.8 million tonnes of annual capacity by 2030.

 

The Vienna-headquartered company, formed in 2026 through the combination of Borouge Plc, Borealis, and NOVA Chemicals, laid out a series of milestones spanning ethane cracker expansions in the UAE and flagship projects in Belgium, Germany, and Austria.

Linde Engineering Engaged on Ethane Cracker Expansions

A central element of the announcement concerns the company's ethane crackers. Borouge International is working towards the Engineering, Procurement and Construction contracts to expand its Ethane Cracker 2 (EU2) capacity by 230,000 tonnes per year.

 

As a key step towards this expansion, the company has commenced early Engineering Services in 2026 with Linde Engineering, the licensor of the original EU2 plant and the Front End Engineering & Design (FEED) contractor for the EU2 expansion project.

In a further development, Linde Engineering has been granted a letter of award for pre-Front End Engineering & Design (pre-FEED) for the upgrade of Borouge International's third ethane cracker, EU3.

 

According to the company, the additional ethylene produced by EU3 will be sold as base chemicals, supporting its long-term strategic objectives. The signing of the Early Engineering services agreement for EU2 was formalised by Dr. Hasan Karam, Borouge International's Chief Operating Officer, and John van der Velden, Linde Engineering's Senior Vice President Large Projects.

 

Borouge 4 Progress in Ruwais

The company continues to make progress on the Borouge 4 expansion project in Ruwais, UAE, which is owned by ADNOC and OMV and operated by Borouge Plc.

 

Once fully ramped up, the project is set to add 1.4 million tonnes of additional polyethylene capacity, making Ruwais the world's largest single-site polyolefin complex.

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European Projects Reach Key Milestones

Borouge International's European portfolio also advanced. In Belgium, the company's second Propane Dehydrogenation plant, Kallo PDH2, with a production capacity of around 750,000 tonnes per annum, has reached mechanical completion, with start-up expected in the first half of 2027.

In Burghausen, Germany, the company is scaling up its Borstar Nextension polypropylene project. Construction commenced in September 2026 for the next-generation single-site polypropylene facility, which is set to significantly increase commercial capacity upon completion to support growing market demand.

Additionally, Borouge International recently inaugurated its Schwechat specialty polypropylene compounding plant in Austria following a USD 111.88 million expansion and upgrade investment.

Leadership Commentary

Roger Kearns, Chief Executive Officer of Borouge International, said, "Borouge International brings together world-class assets, proprietary technologies, and deep market expertise to create a more competitive and resilient global polyolefin leader. As we execute our growth strategy at scale, we continue to focus on innovation to deliver premium, differentiated solutions that support the needs of our customers and create long-term value for shareholders."

Dr. Hasan Karam, Chief Operating Officer, commented, "We are unlocking new capacity through our strategic growth and expansion projects, strengthening our global polyolefins platform, and generating long-term value for our shareholders. With a resolute focus on operational excellence, we are maximizing the performance of our assets, harnessing advanced technologies, and shaping the future of our industry."

Company Background and Strategic Position

Borouge International is a global polyolefins leader targeting 13.8 million tonnes of annual capacity by 2030 across its 30 global manufacturing sites. The company was formed in 2026 through the combination of Borouge Plc, Borealis, and NOVA Chemicals while backed by long-term shareholders XRG, the international investment arm of ADNOC, and OMV.

The company states that it brings together world-class assets, advantaged feedstock access, and proprietary technology to deliver high-performance polyolefin solutions across consumer products, infrastructure, energy, mobility, and advanced products. It is headquartered in Vienna, Austria, with a regional headquarters in Abu Dhabi, UAE, and corporate hubs in North America and Asia Pacific.

According to the company, these strategic expansion projects further strengthen Borouge International's position as the world's leading pure-play polyolefin producer, supported by a global footprint, proprietary technologies, and a broad portfolio of differentiated solutions.

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