MOSCOW (MRC) -- Indorama Ventures (Bangkok) has pulled out of a world-scale aromatics joint venture in Abu Dhabi to be replaced by state-owned Abu Dhabi National Oil Co. (Adnoc), said Chemweek, citing local reports.
Indorama, a major producer of polyester, in December 2013 signed a deal with Abu Dhabi National Chemicals Co. (ChemaWEyaat) to develop Tacaamol, a huge aromatics complex, which would have ensured supplies to Indorama’s polyester value chain, particularly para-xylene (p-xylene) for purified terephthalic acid production.
The aromatics plant is expected to have a design capacity of 1.4 million mt/year of paraxylene and 500,000 mt/year of benzene, IVL has previously said.
ChemaWEyaat was due to own 51% of the venture, Abu Dhabi Chemicals Integration Co., or Tacaamol, with the remaining 49% stake held by IVL.
Following IVL's exit from the venture, Abu Dhabi National Oil Co. has assumed the 49% stake.
"Indorama Ventures discontinued its participation in the ChemaWEyaat joint venture in 2015 since the project timelines were extended and the decision was taken that Indorama Ventures had to focus on its existing business and strategic initiatives which are in the pipeline," the spokesman said.
ChemaWEyaat was established in 2008 to develop Abu Dhabi's chemical industry. The company is jointly owned by the Abu Dhabi Investment Council, International Petroleum Investment Company or IPIC, and Adnoc.
As MRC informed earlier, Indorama Netherlands B.V., a 100%-owned subsidiary of Indorama Ventures Public Company Limited (IVL), has signed a share purchase agreement to acquire 100% equity stake of Polyplex Turkey from Polyplex Europa Polyester Film San. ve Tic. A.S, Turkey, a 100% owned subsidiary of Polyplex (Thailand) Pcl., and Polyplex (Asia) Pte Limited, Singapore.
Indorama Ventures is a leading producer in the polyester value chain in Thailand with strong global network and manufacturing across Asia, Europe and North America. Its products serve major players in diversified end use markets, including food, beverages, personal and home care, health care, automotives, textile, and industrial. The company’s main products are PTA, PET and polyester fibre, which are distributed across the world.
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