MOSCOW (MRC) -- BASF and China Petroleum & Chemical Corp. (Sinopec) have completed a joint feasibility study and taken the next steps in the establishment of a world-scale isononanol (INA) plant in China, according to BASF's press release.
As MRC reported earlier, in summer 2012 the companies signed a Memorandum of Understanding (MoU) to further strengthen their cooperation by jointly exploring the possibility of building a world-scale isononanol (INA) plant in Maoming Hi-tech Industrial Development Zone, Maoming, China. Thus, the final scope of the investment is to be determined in the near future.
The partners will also form a new 50-50 joint venture, named BASF MPCC Co. Ltd, and plan to start production at the new plant around the middle of 2015.
"The completion of the joint feasibility study marks an important milestone for our INA business, helping us serve the increasing demand for next-generation plasticizers in China. Integration into the MPCC operations also allows for a very competitive feedstock supply," said Dr. Albert Heuser, president of the Asia-Pacific region for BASF.
INA is used as the feedstock for the production of next generation plasticizers, e.g. diisononyl phthalate (DINP) and non-phthalate plasticizer Hexamoll DINCH. DINP is widely used as a plasticizer in industrial applications such as automotive, wires and cables, flooring, building and construction while Hexamoll DINCH is the plasticizer of choice for sensitive applications.
BASF and Sinopec already jointly operate BASF-YPC Co. Ltd., a 50-50 joint venture between BASF and Sinopec in Nanjing, China. As one of China's largest petrochemical joint ventures, it produces a wide range of chemicals for the rapidly-growing Chinese market.
China Petroleum & Chemical Corporation (SINOPEC) is a large scale integrated energy and chemical company with upstream, midstream and downstream operations. SINOPEC is China's largest manufacturer and supplier of major petrochemical products.
BASF is the world’s leading chemical company. Its portfolio ranges from chemicals, plastics, performance products and crop protection products to oil and gas.
MRC