Braskem Idesa has announced the successful signing of key documents for securing US$ 3.2 billion financing for developing the Ethylene XXI project, a petrochemical complex for the production of ethylene and polyethylene in the state of Veracruz, in Mexico.
The latest deal is largest project finance in the history of petrochemical sector in the Americas. The financing was structured with seven government agencies, including two agencies Export Credit (Canada and Italy), two multilateral agencies (IDB and IFC), and three Development Banks (Brazil and Mexico).
Founded in 2010, Braskem Idesa SAPI is a joint venture, formed by Brazil’s Braskem SA, the largest producer of thermoplastic resins on the continent, and Idesa Group, a leading Mexican company in the petrochemical sector. The Ethylene XXI project being developed by Braskem Idesa requires a fixed investment of US$ 3.2 billion (CAPEX) and a total investment of approximately US$ 4.5 billion.
Once operational, the new plant is expected to become an engine of economic growth in the southeast region of Mexico. It is expected to create 9,000 jobs during the construction phase and 3,000 direct and indirect jobs when it begins operations in first half of 2015.
The first phase of construction of the project, which began in October 2011, has been completed. The second phase of the project, consisting of detailed engineering, equipment procurement, construction and electromechanical works, began last month.
Source:
http://www.fibre2fashion.com/news/textile-news/newsdetails.aspx?news_id=119239
