Idemitsu Kosan Co – the Japanese oil refiner and Mitsui Chemicals Inc – the petrochemical manufacturer announced that they are going to merge the functioning of two naphtha crackers which will mark the beginning of their 50-50 partnership.
Both the firms have declared the joint venture in the month of April but had not mentioned when they would merge the operations of these two crackers in Chiba, with a potential to manufacture 920,000 tons of ethylene per year.
The partnership will account for around 12 percent of the country's ethylene production capacity of more than 7 million tons in a year and has come at a time when the other Asian competitors and the petrochemical plants of Middle East, have increased their production, using low-priced gas in place of naphtha.
Fibre2fashion News Desk-India
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