Brazil’s Ultrapar to invest $44m in Oxiteno chem plants next year

HOUSTON (ICIS)--Ultrapar plans to invest Brazilian reais (R) 83m ($44m, €34m) in its Oxiteno chemicals business as part of its 2012 investment plan, the Brazil-based energy, logistics and chemicals group said on Thursday.

The investment would mainly go towards the maintenance and modernisation of Oxiteno’s chemical plants, Ultrapar said in a statement.

Ultrapar said that the R83m investment in Oxiteno next year represents a reduction compared with 2011, when Oxiteno completed “an important expansion cycle”. It did not disclose what the comparable investment in Oxiteno was in 2011.

Oxiteno is a large producer of ethylene oxide and its main derivatives in South America, according to information on Ultrapar’s website. It also produces specialty chemicals, fatty alcohols and related byproducts.

Oxiteno has nine industrial units in Brazil, Mexico and Venezuela, as well as commercial offices in the US, Argentina and Belgium.

Ultrapar’s overall 2012 investment plan for the whole group, including Oxiteno, amounts to R1.08bn, excluding spending on possible acquisitions, it said.

($1 = R1.88, €1 = R2.44)