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Mexican President Felipe Calderón wants to resurrect a petrochemical project involving state oil company Pemex and private partners. Calderón is calling for a $1 billion, 1 million-metric-ton-per-year ethylene plant and $700 million in spending on derivatives. Previous ethylene initiatives, such as Project Phoenix, have failed due to Pemex' inability to come to terms with the private sector on hydrocarbon feedstock prices. Calderón told an audience of chemical engineers that the government will set clear criteria for raw materials on the basis of market forces. The project is meant to address Mexico's underdevelopment in petrochemicals. "The development of the chemical industry is an element that largely determines the development of a nation," Calderón said.
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