Mitsubishi Chem, Sinopec plan $300m BPA/PC units

08 April 2008 13:28  [Source: ICIS news]

TOKYO (ICIS news)--Mitsubishi Chemical (MCC) and its partner Mitsubishi Engineering-Plastics (MEP) have finalised plans with China’s Sinopec to form a $300m joint venture to build bisphenol-A (BPA) and polycarbonate (PC) plants in China, the Japanese chemical producer said on Tuesday.

The companies would create a joint venture to build a 150,000 tonne/year BPA plant and a 60,000 tonnes/year PC plant in Beijing by mid-2010, it added in a statement.

The firms reached a final agreement after they conducted a joint feasibility study, and submitted an application for the PC/BPA project to the Chinese government on Monday, it said.

The producers would establish the joint venture once they get the necessary government approval, said MCC, adding that they were yet to decide on a name for the project.  

The units would be located at the site of Beijing Yanshan Petrochemical, a Sinopec subsidiary and the companies expected to begin construction towards the end of 2008, it said.

The total investment cost for the project was pegged at $300m, and PCR Investments Japan Corp, an 80:20 joint venture between MCC and MEP, would take a 50% stake, while Sinopec would hold the other 50% share, MCC said.

Sinopec would provide the phenol and acetone feedstocks for the BPA unit, while MCC would supply diphenyl carbonate (DPC), a primary feedstock of PC, MCC added.

MCC would also license the production technologies of BPA and PC to the joint venture, the company added.  

By: Tomomi Yokomura
+65 6780 4359

< previous article(VIDEO - ICIS news Europe Lunchtime Bulletin 27 October 2009)

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly