As a market leader in PET resin, the client developed a new proprietary manufacturing technology that would allow the production of PET resin with lower energy and labor costs. Project V was initiated to select the site of a new PET plant, which would become the world’s largest at an annual capacity of 1.7 billion pounds. Logistics was a top criterion for the site selection process to optimize the potential of the new manufacturing technology.
Services Provided
- Provided site selection expertise for the world’s largest PET resin plant, a $1B investment
- Analyzed ton-center network including a screening of over 40 initial prospect sites
- Instituted on-site logistics due diligence at 12 semi-finalist sites in 4 states
- Combined logistics costs, forecast data, operating costs, and finished goods transportation costs to develop logistics cost model for each prospective site
Results
- Delivered logistics due diligence at 12 semi-finalist sites, with cost/ risk analysis of rail routes, service, highway access, pipeline access, & port facilities; discovered risk within transport modes and prospective service providers
- Negotiated rates, service commitments, and capital investments from logistics providers as a condition of site selection
- Designed & engineered optimized site logistics plan and transportation infrastructure for new plant, including rail access, storage, loading racks, port access, and roadways
