Kansas City Southern Railway Co. will build and lease a storage-in-transit rail yard to support the new Sasol Chemicals LLC ethane cracker and derivatives project near Lake Charles.

In addition to building the yard, the railroad will replace and expand its existing rail car classification yard in Mossville, a nearby community. The cost of the project was not disclosed.

Sasol has said its complex will cost $8.1 billion. The ethane cracker will break natural gas into smaller molecules and produce 1.5 million tons of ethylene a year. Ethylene is used in making everything from detergents and lotions to cleaners and paint.