Brazilian petrochemical company Braskem (NYSE: BAK) is planning to invest some 1.6bn reais (US$931mn) in 2011, with the Rio de Janeiro Comperj petrochemical complex leading next year’s capex, company CEO Bernardo Gradin said during a press conference to discuss Q3 results.

Braskem is expected to invest a similar amount this year.

Comperj is currently being led by federal energy firm Petrobras (NYSE: PBR) and initial investments are estimated at US$8.4bn.

Braskem is already committed to Comperj’s development, Gradin said, adding that the company will lead the petrochemicals division of the complex.

The general aspects of the project will be submitted to Braskem’s board in the first quarter of next year, according to the executive. Together with Petrobras, the petrochemical firm is defining what exactly will be produced, as well as the initiative’s scale, schedule and business model.

Other investments for next year include new projects in “green” resins and expansions in Brazil, the CEO said.

Another important project being carried out in the country is one to boost PVC production by 200,000t/y in Alagoas state. The expansion will require a total investment of US$470mn.

Next year’s investments will also focus on the Mexican Ethylene XXI project, being carried out in partnership with Mexican firm Idesa. With startup forecast for 2015, Ethylene XXI will produce 1Mt/y of ethylene, which will be converted into an equivalent amount of polyethylene, and will require US$2.5bn.

Similar Posts:

Share