Asahi Kasei and Mitsubishi to Form JV for Unified Cracker Operations at Mizushima

摘要

Asahi Kasei and Mitsubishi Chemical say they have signed a memorandum of understanding to establish a 50-50 joint venture company for the previously announced integration and unification of their respective naphtha cracker operations at Mizushima, Japan. Asahi Kasei and Mitsubishi had announced in June 2009 that they are studying the possibility of unifying their naphtha cracker operations at Mizushima. The signing of the memorandum of understanding is the result of an extensive study on the unification of the naphtha cracker operations, the companies say. The jv company is expected to start up on April 1, 2011. Specifics such as the company name, representatives, paid-in capital, and corporate form are yet to be decided. "The operating climate for the Japanese petrochemical industry is forecasted to become increasingly severe due to declining domestic demand, expansions of large-scale production facilities in the Mideast, and increasing supply capacity in China," the companies say.