CAP’s Second Complex Enters a New Milestone of Progress

On 27 April 2018, PT Chandra Asri Petrochemical Tbk, through its wholly owned subsidiary, PT Chandra Asri Perkasa (CAP2), has awarded six license and engineering design agreements to world-class licensors regarding technology for its second petrochemical complex to be built in Indonesia. CAP2 appointed CB&I’s Lummus Technology for Naphtha Cracker and Butadiene plant; GTC Technology for aromatics (benzene, toluene and xylenes) recovery plant; Texplore for High Density Polyethylene (HDPE) plant; and Lyondellbasell, for Low Density Polyethylene (LDPE) and Polypropylene (PP) plants. The award of these technology licenses is a significant milestone reinforcing CAP’s plan to expand its petrochemical footprint. CAP is confident that the selected technologies will ensure robust productivity and efficiency for the new complex CAP2 was established in April 2017 to undertake Feasibility Study of a second petrochemical complex which is estimated to have total investment around US$ 4-5 billion. The second complex is expected to comprise 1.1 MMTA Ethylene, 600 KTA Propylene, 175 KTA Butadiene, 363 KTA Benzene, 450 KTA HDPE, 300 KTA LDPE and 450 KTA PP for full year of operations. Once this second complex is fully operational, CAP will be able to better serve Indonesia’s domestic demand and ease import burden while also contributing to Indonesia’s economic growth.