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Basell`s Spheripol to revamp SunAllomer Oita PP plant

17
Apr '08

We, SunAllomer Ltd, supported by our shareholders, have decided to invest in our Oita Works for the production of high value-added polypropylene, the increase of production capacity of existing plants and the investment for realizing energy conservation in order to further strengthen the competitiveness of the Oita Works as well as our overall SunAllomer business in Japan.

Our Investment plan foresees an increase by about 60,000 tons per annum of the first production line. In this capacity increase, the Spheripol technology process owned by one of our shareholders, LyondellBasell Industries and already used for the third line will be adopted in order to achieve cost reduction based on energy conservation and simpler plant management.

Furthermore this third line of Oita Works will be upgraded, by applying advanced LBI technology, in order to enable it to manufacture polypropylene having higher concentration of rubber allowing for further product differentiation into high end & niche applications. It is planned that all construction work should be completed during the next periodical maintenance shutdown scheduled for April 2010.

These high value-added polypropylene products, that we have decided to introduce, are characterized by higher content of rubber, high rigidity and high impact resistance, which will make it possible to reduce the weight and processing cost of molded products. With such an introduction, we can respond to the diversified needs of our customers especially in the area of automotive and food packaging use.

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