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ExxonMobil launches $500M polypropylene project at Baton Rouge facility

1 week 6 days 19 hours ago Thursday, January 19 2023 Jan 19, 2023 January 19, 2023 3:23 PM January 19, 2023 in News
Source: WBRZ

BATON ROUGE - ExxonMobil formally launched a multimillion-dollar project to double its production of polypropylene, a type of high-performance plastic, at its Baton Rouge plant. 

The plant celebrated the commencement of its Polypropylene Growth Project at the north Baton Rouge facility Thursday afternoon, accompanied by Governor John Bel Edwards and other community leaders.

The project is expected to create more than 280 new jobs for the capital area, according to the governor's office. 

“For more than a century, ExxonMobil has been a leader in innovative technology, community investment and workforce development in Louisiana,” Governor Edwards said.

Polypropylene is a feedstock used in everyday products including lightweight automotive parts that "improve fuel efficiency and reduce vehicle emissions," the governor said in a statement. 

Read the full announcement from ExxonMobil below. 

Today, ExxonMobil celebrated the commencement of operations of the Polypropylene Growth Project (PPG Project), a new production unit that broke ground in 2019. The project created 65 new full-time jobs, generated $20 million in local sales tax revenue during construction, and produced $349 million in spending with local contractors and $210 million with local businesses.

“The new polypropylene production unit demonstrates ExxonMobil’s long-standing commitment to Louisiana and, more specifically, the Capital Region,” said ExxonMobil Baton Rouge Polyolefins Plant Manager Jonathan Morgan. “This major investment would not have been possible without the support of Governor Edwards, Mayor Weston Broome, local community members and elected officials, including the Louisiana Board of Commerce and Industry, the Baton Rouge Metro Council, East Baton Rouge Parish School Board and East Baton Rouge Sheriff Gautreaux. This project allowed us to train and hire more local residents while increasing our capacity to meet the growing global demand for lightweight, durable plastics.”

Polypropylene is a feedstock used in everyday products including lightweight automotive parts that improve fuel efficiency and reduce vehicle emissions. The PPG Project doubles current polypropylene production capacity onsite, increasing ExxonMobil’s production capacity along the Gulf Coast by 450,000 metric tons per year.

“For more than a century, ExxonMobil has been a leader in innovative technology, community investment and workforce development in Louisiana,” Gov. John Bel Edwards said. “The PPG Project is just the latest example of how ExxonMobil’s investments in our state create career opportunities for our citizens, provide new business for local companies and support community efforts. I’m proud that Louisiana’s strong business climate and competitive incentives programs were able to secure this investment for our state.”

During construction, the PPG Project employed more than 650 workers and generated approximately $51 million in direct employee payroll, $18 million in onsite contractor payroll and another $67 million in construction payroll.

“This project has been a major investment in the Baton Rouge economy and strengthened our community as a whole,” said Mayor-President Sharon Weston Broome. “From a new community center for North Baton Rouge non-profits to virtual reality student labs imbedded at our schools, ExxonMobil's decision to invest here has created a wave of positive impacts for residents across our region. I look forward to working with ExxonMobil to find new opportunities to expand industry's footprint here in Baton Rouge."

Through the Louisiana Economic Development (LED) FastStart® program, the company contracted with eight Louisiana IT firms to develop virtual reality modules to train workers to safely construct and operate new manufacturing equipment and technology.

“The PPG Project is an excellent example of what can be accomplished through LED’s FastStart® program," said Paul Helton, Executive Director of Workforce Development Programs with Louisiana Economic Development. “ExxonMobil’s partnership with local IT firms helped grow several Louisiana businesses and gave local residents the innovative training needed to succeed in new careers with ExxonMobil and in industry across the state.”

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