Basf has broken ground on the third and final phase of MDI (methylene diphenyl diisocyanate) expansion project at its Verbund site in Geismar, Louisiana, announced in July 2022. The company will increase production capacity to approximately 600,000 metric tons per year by the middle of the decade to support the ongoing growth of its North American MDI customers.
The investment for this final expansion phase, which takes place from 2022 to 2025, amounts to 780 million dollars. Including the first and second phases, the investment volume totals around one billion dollars, making the MDI expansion project Basf’s largest wholly owned investment in North America.
Kicked off in 2018, the expansion project follows a staggered approach. First, a new MDI synthesis unit was put in operation in October of 2020. The second phase, which started operations in 2021, expanded several existing upstream units. The third and final phase will add new upstream units and a splitter. Leveraging state-of-the-art technology, the expansion will showcase the highest safety standards combined with advanced digitalization in its operations.