Natural Gas Price Decreases Favoring the Propylene Production from Methanol

Intratec report reveals that Methanol to Propylene units in US can have an internal rate of return of more than 30% per year, boosted by low-priced raw material.

Houston, TX, July 14, 2012 --( In its recent review, Intratec Solutions, a Houston publisher and chemical process consulting firm, demonstrates the attractiveness of generating propene from methanol in the USA, based on MTP (Methanol to Propylene) process similar to the Lurgi MTP® and JGC/Mitsubishi DTP® technologies.

The publication Propylene Production from Methanol, Q2 2012 remember that China has presented in the past few years the best conditions for the production of propene from methanol, hosting in fact the only two existing MTP plants so far. However, according to the publication, the recent advent of shale gas in the USA favors the construction of MTP plants in the country, as the Shale gas rise lowers the price of natural gas, synthesis gas, and, ultimately, the price of Methanol, main MTP raw material.

The report reveals that, nowadays, the internal rate of return of a 557 kta MTP plant exceeds 30% per year not just in China but also in the United States, and scrutinizes the CAPEX of such industrial unit, estimated to be USD 375 million in the US Gulf.

In a detailed economic analysis both the capital investment as well as the operating costs are presented for plants constructed in the US Gulf Coast, Germany and China. While operating costs of a 557 kta plant ranged between USD 1,100 and USD 1,500 per ton of propene produced, the capital expenses varied from USD 290 million to USD 470 million, according to the region considered.

Propylene Production from Methanol is part of the Technology Economics Program (TEC), and is attainable at established distribution channels like and HP Magcloud. A preview of the publication can be found at:

For more relevant information about this publication or customized chemical process feasibility studies contact Intratec at

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Media Contact: Thiago Carneiro Intratec Solutions LLC, 1 713 8211745,
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