NIPPON SHOKUBAI announces PT. NIPPON SHOKUBAI INDONESIA, a subsidiary in Indonesia (“NSI”), plans to expand its Acrylic Acid (“AA”) plant, by chemwinfo

29 October 2018 

ABOUT NIPPON SHOKUBAI

Details

NIPPON SHOKUBAI CO., LTD. hereby announces that

NIPPON SHOKUBAI has resolved,

at its board meeting held on 29th October, 2018,

to give approval to the investment plan at NSI.

The plan is to build

Acrylic Acid plant with 100,000 metric tons per year (“T/Y”)

capacity.

Background of the investment

AA, one of NIPPON SHOKUBAI’s core businesses,

shows steady growth of demand as a key material of

* superabsorbent polymer (“SAP”) and

* acrylate (“AES”) etc.

In recent years, the demand and supply balance of AA

is highly tight especially in Asia. To accommodate

the demand and fulfill its duty to supply products,

NIPPON SHOKUBAI has studied further expansion of AA.

As a result of the study, NIPPON SHOKUBAI has concluded

to expand the capacity of NSI, taking into consideration

NSI’s location in Asia and the expectation

for synergistic effect with the existing plant.

With this new plant at NSI, NIPPON SHOKUBAI group’s

global AA production capacity will be 980,000 T/Y

* Japan 540,000 T/Y and

* overseas 440,000 T/Y

and NIPPON SHOKUBAI will ensure more stable supply.

Feature of investment Production capacity :

Acrylic Acid (AA) 100,000 T/Y 

(current capacity 140,000 T/Y,  

 totally 240,000 T/Y after completion)

Schedule: Mechanical completion – March 2021

               Commercial operation – November 2021

Location:  Existing plant site of NSI

Investment amount: Approx. 200 million US dollars

Corporate outline of NSI Company name :

PT. NIPPON SHOKUBAI INDONESIA

Location :     Cilegon, Indonesia

                   (headquarters and plant)

President :    Naoki HIJIKURO

Established : August 1996

Capital :   120 million US dollars – paid in capital 99.9％

               owned by NIPPON SHOKUBAI

Business : Production and sales of acrylic acid (“AA”),

                acrylates (“AES”) and superabsorbent polymer (“SAP”).

Number of employees: 453 as of March 31,2018

Influence on the business results

This project makes no influence on the business results

of the current fiscal year ending on March 31, 2019.

As for the business results in future, after the operation on Y2021,

NIPPON SHOKUBAI will maintain and improve profitability

by utilizing the above mentioned new plant effectively.

READ MORE

【Contacts】

Investor & Public Relations Dept.,

NIPPON SHOKUBAI CO., LTD.

TEL: +81-3-3506-7605

E-mail: shokubai@n.shokubai.co.jp

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