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10/28/2025

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10/28/2025
LAWIN.news

ExxonMobil Hhalts $10 billion Texas plastics facility amid market challenges

by Mae De Vera, LAWIN.news October 7, 2025
written by Mae De Vera, LAWIN.news October 7, 2025
A planned plastics plant in Calhoun County on the Texas coast has been shelved temporarily by oil giant ExxonMobil, according to the energy company. Photo from: littlestocker/Getty Images/iStockphoto
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ExxonMobil, the prominent Houston-based oil company, has suspended its plans to construct a significant $10 billion plastics manufacturing facility on the Texas Gulf Coast. The decision, attributed to “current market conditions,” was disclosed just months before the start of projected construction.

The company announced on Monday that it would decelerate its plans for the Coastal Plain Venture in Calhoun County. This move casts doubt on one of the region’s largest proposed industrial undertakings, which was anticipated to generate up to 3 million tons of polyethylene pellets annually, primarily for export to Asian markets.

In a statement, ExxonMobil emphasized, “Given the current market conditions, we are adjusting our development pace,” while reiterating confidence in its long-term growth objectives and continued exploration of opportunities along the U.S. Gulf Coast and globally.

This development follows a recent judicial ruling invalidating a key tax incentive by the Calhoun County Independent School District, which had not adequately informed the public prior to its decision. The ruling, stemming from a lawsuit by environmental advocate Diane Wilson and the San Antonio Bay Estuarine Waterkeeper, necessitated a new public hearing on the matter.

Exxon, which reported profits of nearly $34 billion in 2024, had aimed for a 50 percent property tax break over a decade starting 2031, coinciding with the planned commencement of plant operations.

Despite this impediment, ExxonMobil remains open to revisiting the project in the future. The company expressed a commitment to maintaining strong ties with community leaders and contractors, allowing for a potential reassessment of the project’s feasibility as market conditions evolve.

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Mae De Vera, LAWIN.news

Mae De Vera is a passionate advocate, creative professional, and entrepreneur. A graduate of Political Science from Saint Louis University and a law student of Arellano University, Mae is dedicated to empowering marginalized communities through outreach programs and advocacy. With a background in digital artwork, event flyer design, ESL teaching, and business management, Mae brings a versatile skill set to her endeavors. She also embraces her love for nature through farming, integrating sustainability into her life. Mae’s leadership experience as a consistent school student leader reflects her commitment to making a difference. Today, she combines her creativity, advocacy, and entrepreneurial spirit to create impactful stories and initiatives that inspire change. Disclaimer: The views and beliefs expressed by the author do not necessarily represent those of LAWIN.news, its management, editorial board, or staff.

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