Announcement : PETRONAS and BASF Signs "Heads of Agreement" for development of New Project in Pengerang
On 5th March 2012, PETRONAS and BASF entered into a "Heads of Agreement" (HOA) for the
development of new project in Pengerang, Johor. This is further to the Memorandum of Understanding
(MOU) signed between PETRONAS and BASF, on 6th December 2010, to undertake joint feasibility study
on expansion of specialty chemicals in Malaysia.
Under the terms of the HOA, PETRONAS and BASF have agreed on the development of production
facilities for isononanol, highly reactive polyisobutylene, non-ionic surfactants, methanesulfonic acid,
and plants for precursor materials, within the proposed Refinery & Petrochemical Integrated
Development (RAPID) complex in Pengerang, Johor.
The MOU signed on 6th December 2010 by our parent PETRONAS and BASF, also provides for potential
expansion of existing facilities in Kuantan. In this regard, we are pleased to share that PETRONAS
Chemicals Group Berhad and BASF, the joint venture partners of BASF PETRONAS Chemicals Sdn Bhd
(BPC), are making progress with the feasibility study to expand BPC's C3 value chain with a new plant for
superabsorbent polymers, as well as to expand the production capacity of their existing glacial acrylic
Please refer to the attached joint press release by PETRONAS and BASF for further details on the signing
of the HOA.