Tokyo – Japan’s Kuraray Co. Ltd and Sumitomo Corp. are planning a joint venture with PTT Global Chemical Public Co. Ltd (PTTGC) of Thailand to make a heat resistant polyamide (PA9T) and hydrogenated styrenic block copolymer (HSBC) products in Thailand.
The JV project features a new plant to be built in Hemaraj Eastern Industrial Estate in Thailand’s Rayong province. It will produce 13,000 tonnes/year of PA9T and 16,000 tons/year of HSBC.
Kuraray will also conduct a feasibility study about producing 3-methyl-1,5-pentanediol, one of the company’s isobutene derivatives, for which the new plant would have the capacity to produce 5,000 tonnes/year. PTTGC will supply butadiene and isobutene as key raw materials for the new plant.
A ‘key principle joint venture agreement’ between the trio was signed in Tokyo on 7 June. This builds on an agreement signed in September 2016 to conduct a front-end engineering design (FEED) study for the project.
Based on FEED results the companies have now confirmed their intentions, with an investment decision scheduled by the yearend and a JV company to be set up early in 2018.
“Signing this agreement demonstrates the project’s progress and supports the government’s policy of inviting Japanese investors with world-leading technologies and innovations to invest in Thailand,” said Supattanapong Punmeechaow, president & CEO of PTTGC.
“This investment will play a key role in further developing Thailand’s chemical sector and make an important contribution to the country’s economic growth, increasing competitiveness and reinforcing the government’s drive to become Thailand 4.0,” he added.