Braskem should be a partner of factory in Venezuela

Braskem may join as a minority partner in a project for the production of urea in Venezuela, a new segment for petrochemistry controlled by Odebrecht Group. The revelation was made on Monday by President Carlos Fadigas. The venture, according to the Brazilian petrochemical, would involve also the State-owned Venezuelan Pequiven and Odebrecht.
The Brazilian company aportaria knowledge in engineering and construction and State would be responsible for the supply of raw material. Braskem makes up the group because of the experience in development of petrochemical projects. ?Signed last week a memorandum of understanding regarding a project of urea (in Venezuela). We are talking about a small participation in a very preliminary study, long-term? said Fatigue in Conference call with analysts and investors.
According to Braskem, the project would have as purpose to provide urea to the Brazilian market, where the raw material has limited offer because of the lack of availability of natural gas. The companies that participated in the initial discussions on the subject have not yet established deadlines or necessary investment values.
The revelation made by Fatigue happens less than a week after the meeting between President Dilma Rousseff and the new Venezuelan President, Nicolás Maduro. ?The President-elect, mature, has been with the President Dilma Rousseff last week, remains the political-strategic relationship between Brazil and Venezuela. And, therefore, remains also our good relationship with both the Pequiven and PDVSA?, fatigues.
The proximity between Braskem and Venezuela is great. The company purchases and sells resins naphtha for the neighboring country. In addition, is a partner of Pequiven in building a polypropylene plant in Venezuelan territory. The unit would be fueled with natural gas extracted in the neighboring country, which has led to differential Braskem to invest in countries where there is availability of gas, like Venezuela, Mexico and United States.
In addition to the PP project, conceived by Polypropylene Del Sur (Propilsur), a company that has as members Braskem and Pequiven, the petrochemicals in Brazil also ponder to construct a petrochemical complex in the neighboring country. The project, known as billionaire Polyethylenes of America (Polimerica), however, was dropped at the end of 2012. Construction was announced in 2007, with planned investment of $ 2.5 billion, but did not come out of the role due to the turnaround in the world economy after 2008.