MOSCOW (MRC) -- PETRONAS and Evonik Industries AG have signed a Letter of Intent to jointly embark on the development of production facilities of specialty chemicals within PETRONAS’ Refinery & Petrochemical Integrated Development (RAPID) project in Pengerang, Johor, said PETRONAS in its statement.
Under the LOI, the two parties will endeavour to form a partnership to jointly own, develop, construct and operate facilities for the production of hydrogen peroxide, C4 co-monomer and oxo-products within RAPID.
The plants are expected to have the capacity to produce 250,000 metric tons of hydrogen peroxide, 220,000 metric tons of isononanol (INA) and 110,000 metric tons of 1-butene annually. The hydrogen peroxide will be used on site to produce propylene oxide by the licensed, eco-friendly HPPO process Evonik had jointly developed with ThyssenKrupp Uhde. These projects are expected to come on stream in 2016.
The partnership is expected to strengthen PETRONAS’ position as a key downstream petrochemical player in the region. Evonik is one of the world's largest producers of hydrogen peroxide and C4-based products with production facilities in Europe, North America, South America, New Zealand, Asia, South Africa and Indonesia.
As MRC wrote earlier, PETRONAS and BASF said Monday they have scrapped a proposed joint venture to develop a specialty chemicals production facility in Malaysia.
Evonik, the creative industrial group from Germany, is one of the world leaders in specialty chemicals. Profitable growth and a sustained increase in the value of the company form the heart of Evonik’s corporate strategy.
PETRONAS is Malaysia’s national oil and gas company wholly-owned by the Government of Malaysia. Together with its subsidiaries and associated companies, PETRONAS, a Fortune Global 500 company, has fully integrated oil and gas operations in a broad spectrum of the oil and gas value-chain.
PETRONAS strives to contribute to the well-being of the people and nations wherever it operates by developing and adding value to oil and gas resources in a manner that carefully balances commercial, environmental and social considerations.
MRC