BASF Petronas Chemicals to expand 2-EHA annual production capacity by 2024

KUALA LUMPUR, Oct 13 — BASF Petronas Chemicals Sdn Bhd (BPC), a joint venture between BASF and Petronas Chemicals Group Bhd (PCG), intends to expand the annual production capacity of 2-Ethylhexanoic Acid (2-EHA) from 30,000 to 60,000 metric tonnes by 2024.

BASF senior vice-president, Intermediates Asia Pacific, Vasilios Galanos said with the increased capacity, the company will continue to ensure persistent supply capability in Asia Pacific with the highest standard of product quality.

“We are committed to supporting our customers’ growing demand in various 2-EHA downstream applications, such as synthetic lubricants for the white goods industry, and PVB plasticizers for safety glass production in the construction and automotive segments,” he said in a statement today.

Meanwhile, PCG managing director and chief executive officer Datuk Sazali Hamzah said 2-EHA has been an integral part of BPC’s growth and the expansion is planned to capture the growing market.

“The expansion is also in line with PCG’s sustainable growth strategy to expand our portfolio with higher value products.

“By leveraging the existing integration between BPC and other PCG plants in the Kuantan Verbund site, we are able to maximise our value chain by improving the quality and cost competitiveness of our products and continue delivering innovative solutions to our customers,” he said.

BPC managing director Marko Murtonen said the expansion caters to a rising trend on high-quality products combined with production efficiency that is well integrated into the sustainability targets of parent companies.

Acting as a chemical intermediate, 2-EHA is 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, stabilisers, catalysts, and other applications in various industries.

Apart from the production site in Kuantan, BASF also produces 2-EHA at its Verbund site in Ludwigshafen, Germany. — Bernama