INDONESIA: PTTGC, Pertamina talk joint venture

Details of the investment will be announced later this year. Once the agreement has been signed, it will take three years to complete the plant's construction and go into operation, he said.

"Polymer demand in Indonesia has risen sharply every year, most are imported from other Asian countries. So this project will be an import substitution," said Mr Bowon.

PTTGC has also conducted a joint feasibility study with China's state-owned Sinochem to develop a petrochemical complex in the mainland but details including project costs have yet to be finalised.

PTTGC has planned capital expenditure (capex) of 14 billion baht for next year and 2015 including expanding its second aromatics plant, third olefins unit and second phenol unit.

The company has maintained the seven-year capex through 2020 at USD 11 billion although the world economy is slowing down, said Mr Bowon, adding that all the projects are long-term investments.

Source: Daily "Bangkok Post", Bangkok; 15 Oct 2013(Syed Rashid Ali, Karachi, Pakistan)