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n Production capacity doubled to 60,000 metric tons per annum from third quarter 2024
n Supports growing market demand
n Customers honor long-standing partnerships and cooperative efforts
Kuantan, Malaysia – October 25, 2024 – BASF PETRONAS Chemicals (BPC) celebrates the inauguration of its second 2-ethylhexanoic acid (2-EHAcid) production line at the integrated site in Kuantan, Malaysia. This expansion directly responds to the rapidly growing demand for high-quality 2-EHAcid, reaffirming BPC’s commitment to serving its valued regional customers.
“This expansion is a significant step in our commitment to profitable growth and value creation. As part of our new strategy, we are dedicated to enhancing the footprint of our core businesses in high-growth Asian markets, ensuring that we meet the increasing needs of our customers with high-quality products,” said Stephan Kothrade, member of the Board of Executive Directors and Chief Technology Officer of BASF SE.
Dr. Ketan Joshi, President, Intermediates Division, BASF; Dr. Michael Becker, Senior Vice President, Intermediates Asia Pacific, BASF; Encik Zamri Japar, Chief Manufacturing Officer, PETRONAS Chemicals Group Berhad and Tan Aik Meam, Managing Director, BASF PETRONAS Chemicals officiate the 2-EHAcid II inauguration ceremony at the Kuantan Verbund Site.
“This expansion enables us to better meet the rapidly growing demand for high-quality 2-ethylhexanoic acid in the Asia Pacific region. By enhancing our capacity, we strengthen our responsiveness to customer needs and solidify our position as a leading supplier in the market. We are committed to our vision to be the preferred partner for sustainable intermediates,” said Michael Becker, Senior Vice President, Intermediates Asia Pacific, BASF.
“This successful expansion signifies the ongoing strength of our partnership and shared commitment to growth and collaboration. We are excited about the future of this plant, as the increased capacity strategically positions BPC to capitalise on growth opportunities in the region. With demand for our product continuing to rise, we are well-equipped to meet it efficiently and effectively, ensuring our customers receive top-quality products promptly,” said Mazuin Ismail, Managing Director/ Chief Executive Officer, PETRONAS Chemicals Group Berhad and Chairman of BPC.
“I want to express my appreciation for the strong partnership with our parent companies, PETRONAS and BASF. Their support has been invaluable in executing this project successfully. I also commend the project team for their excellent work, which has been instrumental in achieving this important capacity enhancement,” added Tan Aik Meam, Managing Director, BPC.
Customers join the celebration and visit the new plant at the Kuantan Verbund site.
This significant occasion also highlights the organization’s ongoing dedication to customer centricity, as customers joined in celebrating the inauguration of the expansion at the Kuantan Verbund site.
Since its establishment in 2016, the 2-EHAcid plant has played an important role in supporting growth in Southeast Asia region. The groundbreaking for a second production line took place in Q1 2023. As of Q3 2024, the new production line is fully operational, doubling the annual production capacity to 60,000 metric tons, further reinforcing BPC’s dedication to driving innovation and meeting the evolving needs of customers worldwide.
Note: 2-EHAcid is a chemical intermediate used as a compound in the production of synthetic lubricants as well as oil additives. It is also used in functional fluids like automotive coolants, metal salts for paint dryers, plasticizers, stabilizers, catalysts and other applications in various industries. In addition to the production site in Kuantan, Malaysia, BASF also produces 2-EHAcid at its Verbund site in Ludwigshafen, Germany.
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