Lyondell, Sumitomo in propylene oxide process talks

07 September 2000 22:29  [Source: ICIS news]

HOUSTON (CNI)--Lyondell Chemical and Sumitomo are discussing the global commercialisation of Sumitomo's new propylene oxide (PO) manufacturing process, Lyondell said Thursday.

The talks come as Sumitomo Chemical expects to begin construction in Japan of a 200 000 tonne/year PO unit using its' new process technology. Sumitomo says its proprietary PO manufacturing technology offers significant cost advantages over conventional PO processes and generates no co-products.

Lyondell said it expects Nihon Oxirane, the Sumitomo-Lyondell joint venture, will market the product in Japan and Lyondell will handle the marketing outside Japan.

Subsequent joint-venture plants to be built outside of Japan also are under discussion by the two companies, Lyondell said.

Edward Dineen, Lyondell's senior vice president, noted that Sumitomo and Lyondell have had a 25-year partnership in the PO business in Japan through Nihon Oxirane.

He added: "It is our expectation that this strong partnership will make this new technology a success as well."

Houston-based Lyondell said a more detailed announcement by the two companies is expected "in the near future, when specific agreements have been finalised."

By: Mike Sheridan
+1 713 525 2653

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