By Jason Ng
KUALA LUMPUR--BASF SE (BAS.XE) and Petronas Chemicals Group Bhd
(5183.KU) said Monday they would build a plant to make the
so-called 2-ethylhexanoic acid at the site of their existing joint
venture in the Malaysian state of Pahang.
Construction of the plant, which should produce up to 30,000
tons annually of chemicals used in production of synthetic
lubricants and additives, is expected to begin in the second
quarter, BASF and Petronas Chemicals said in a joint statement.
Financial details of the new plant weren't disclosed.
BASF, the world's largest chemical company by revenue, owns 60%
in the joint venture set up since 1997 to produce industrial
chemicals. Petronas Chemicals, the petrochemical arm of Malaysia's
state oil and gas company Petroliam Nasional Bhd, owns the
remaining 40%.
Write to Jason Ng in Kuala Lumpur at jason.ng@wsj.com
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