Braskem Snags Pemex Project

Brazil petrochemical company Braskem and Mexican minority partner Idesa have been awarded Pemex Gas’ $2.5bn Etileno XXI project. A Braskem spokeswoman says that the company will finance the project with 70% debt and 30% equity, but that this is not yet confirmed, as the final structure of the investment is still being discussed. She adds that Braskem is considering welcoming another company into its consortium. It plans to be the majority owner of the project, with a stake of at least 60%, while Idesa would hold about 20%. The project entails the acquisition of ethane at competitive prices for 20 years, construction of a cracker to produce 1m tons of ethane a year for Pemex, and the construction of 3 polyethylene plants, according to Braskem.