Eastman Eyes India Oxo Aldehyde Venture

Kingsport, Tenn.-based Eastman Chemical and Essar Chemicals of India have signed a memorandum of understanding to jointly develop a 150,000-metric-ton-per-year oxo aldehyde and derivatives plant to be situated at Essar's refinery in Vadinar, in India's Gujarat state. The oxo plant would take advantage of propylene feedstock produced at the refinery. Output from the plant would supply the Indian market with oxo intermediates used to make paints, solvents, and plasticizers. Essar recently announced a deal with Arkema to build an acrylic acid plant at the same site. Separately, Eastman says it will close its San Roque, Spain, polyethylene terephthalate manufacturing site due to an "untenable labor situation."