Malaysia’s national oil company is in touch with the largest U.S. chemical producer — Dow Chemical Co., Exxon Mobil, Shell as well Japanese companies Mitsubishi Corp. and Itochu Corp. in order to build petrochemical plants inside its $20 billion refinery project.
Petronas is showing a great deal of interest in joint ventures to diversify its profits and to take advantage of surging Asian demand. It is expected that Petronas will decide about partnerships by mid-2012, which shows that it’s moving quickly past the feasibility phase of the project.
It is reported that they will soon reach the design and basic engineering phase and after that the tendering procedure for constructing the complex will begin.
Petronas first disclosed the project during May informing that the project is expected to be completed by the end of 2016.
The $20 billion project is to be set up in Johor state bordering Singapore, which is the biggest Asian oil hub.
The project is important to Petronas’ effort to share the $395 billion international market of specialty chemicals which are used as raw materials to produce a large number of items including LCD televisions and higher performance tires.
Petronas is eyeing for huge markets of India, Bangladesh, Pakistan and Myanmar.