Braskem Siam, a joint venture by Brazil’s chemical company Braskem and Thailand-based petrochemical company SCG Chemicals, has received green light from the Thailand Board of Investment (BOI).
Braskem and SCG had applied to invest THB 19.3 billion (€491.26 million) to build a 200,000 tonnes/year bio-ethylene plant in Map Ta Phut Industrial Estate, Rayong province. Braskem Siam aims to produce sugarcane-based bio-ethylene from bio-ethanol dehydration, which will then be used to produce I’m green bio-based polyethylene (PE). The plant will be the first of its kind outside of Brazil.
The BOI said the bio-ethylene project, alongside another seven large-scale projects which received approval, is of key importance to the Thai government and the future development of the economy.
Braskem will contribute its EtE EverGreen technology resulting from the partnership agreement between Lummus Technology LLC and Braskem B.V., which the companies entered into in 2022. In addition, the Brazilian company will bring operational experience in the ethanol dehydration process.
SCG Chemicals will provide expertise in high-quality polyethylene grades for different applications, operational excellence in polyethylene manufacturing and market reach in Southeast Asia.
By using ethanol from sugar cane instead of traditional fossil feedstock, the carbon footprint of the PE can be significantly reduced. I’m green bio-based polyethylene is used in a variety of products, from packaging for food and beverage to personal and home care products, toys, housewares, and plastic bags. It can also be mechanically or chemically recycled just as regular polyethylene.
Once built, the new plant in Thailand will almost double the existing capacity of I’m green bio-based polyethylene, allowing the growing demand for biopolymers globally to be better met - with a focus on the fast-growing market in Asia.