Petronas, BASF Advance In Malaysia

BASF and Malaysian oil refiner Petronas have advanced plans for a Malaysian specialty chemical joint venture for which they had signed a memorandum of understanding in late 2010 (C&EN, Dec. 13, 2010, page 16). The new agreement specifies that BASF will own 60% of the venture and Petronas 40%. This ownership ratio is the same as that for an existing petrochemical venture between the two firms, BASF Petronas Chemicals, which has been operating a complex in Kuantan, Malaysia, for more than a decade. By 2018, the new venture will start production of isononanol, polyisobutene, nonionic surfactants, methanesulfonic acid, and their precursor materials at a new site in Pengerang. Separately, the partners are considering the construction by 2015 at their existing Kuantan site of a new superabsorbent polymers plant as well as the expansion of their glacial acrylic acid unit. Altogether, Petronas and BASF plan to spend $1.3 billion in Kuantan and Pengerang.