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Braskem and SCG Chemicals studying construction of JV bio-based plant for production of ethylene and PE in Thailand

September 23/2021

MOSCOW (MRC) -- Brazilian petrochemicals and plastics producer Braskem (Sao Paulo) and Thailandís SCG Chemicals (Bangkok) are studying construction of a JV bio-ethanol dehydration plant for the production of bio-based ethylene and polyethylene (PE), as per Braskem's press release.

The project would be located at SCG Chemicalsí petrochemical complex in Map Ta Phut, Rayong/Thailand and the output would be marketed as Braskemís ďIím greenĒ bio-based PE.

Braskem said it would contribute with its technology and knowhow in ethanol dehydration and its bio-based PE marketing expertise, while SCG Chemicals would bring its PE units and production expertise for the manufacture of the bio-based PE. The project would up to double existing capacity for the Iím green bio-based PE, Braskem said.

The partners have executed a memorandum of understanding to perform feasibility studies to jointly invest in the project.

Braskem said the project is aligned with its goals of achieving carbon neutrality by 2050, and of diversifying and expanding its industrial footprint. For SCG Chemicals, the project is part of its target to achieve green polymer sales volumes of 200,000 t by 2025.

As MRC wrote previously, in August 2021, the oil company Petroleo Brasileiro SA (Petrobras) hired JPMorgan Chase & Co as an advisor to sell its stake in the petrochemical company Braskem SA.

We remind that Braskem is no longer pursuing a petrochemical project, which would have included an ethane cracker, in West Virginia. And the company is seeking to sell the land that would have housed the cracker. The project, announced in 2013, had been on Braskem's back burner for several years.

Ethylene and propylene are the main feedstocks for the production of polyethylene (PE) and polypropylene (PP), respectively.

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,396,960 tonnes in January-July 2021, up by 7% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market were 841,990 tonnes in the first seven months of 2021, up by 29% year on year. Supply of propylene homopolymers (homopolymer PP) and block-copolymers of propylene (PP block copolymers) increased, whereas supply of statistical copolymers of propylene (PP random copolymers) subsided.

Braskem S.A. produces petrochemicals and generates electricity. The Company produces ethylene, propylene, benzene, toluene, xylenes, butadiene, butene, isoprene, dicyclopentediene, MTBE, caprolactam, ammonium sulfate, cyclohexene, polyethylene theraphtalat, polyethylene, and polyvinyl chloride (PVC).


mrcplast.com
Author:Margaret Volkova
Tags:bioplastics, PE, propylene, ethylene, petrochemistry, Braskem, Petrobas, SCG Chemicals, Brazil, USA, Thailand.
Category:General News
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