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Petronas and Versalis form elastomer JV

The JV to use Versalis' technology to make synthetic rubbers at Petronas' proposed Refinery and Petrochemical Integrated Development (RAPID) complex

BS B2B Bureau Johor, Malaysia
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Last Updated : Nov 22 2013 | 4:41 PM IST

Malaysian oil & gas company, Petronas, and Versalis, Eni’s chemical subsidiary and a global leader in the elastomers industry, have signed an agreement to set up a joint venture (JV) company that will manufacture, sell and market elastomers produced within Petronas’ proposed Refinery and Petrochemical Integrated Development (RAPID) complex in Pengerang, Johor, Malaysia.
 
Petronas Refinery and Petrochemical Corporation (PRPC) Sdn Bhd, a subsidiary of Petronas that is undertaking the RAPID project, will have a 60% interest in the proposed JV, while Versalis will own the remaining 40%.
 
Under the agreement, the joint venture company, using Versalis’ technology licence and technical know-how, will produce and market synthetic rubbers from four separate elastomer plants it proposes to build within RAPID.
 
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Versalis brings into the partnership proven elastomer operation records and a wealth of commercial experience and expertise that would significantly contribute towards strengthening Petronas and Malaysia’s position as a key downstream petrochemical player in Asia Pacific.
  
The proposed RAPID project is Petronas’ largest liquid-based green-field downstream undertaking in Malaysia. It will have a 3,00,000-barrel per day refinery to supply the petrochemical complex, apart from producing a host of refined petroleum products, including gasoline and diesel that meet the Euro 4 and Euro 5 fuel specifications.
 
The petrochemical component of the project will allow Petronas to expand its products portfolio from commodity petrochemicals to premium differentiated and specialty chemicals, capitalising on the growing demand for these higher value products in Asia Pacific.

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First Published: Nov 15 2013 | 1:30 PM IST

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