TOYO Awarded Petrochemical Project in IndonesiaSep. 5, 2017

Toyo Engineering Group (TOYO) has been awarded a construction project from PT Chandra Asri Petrochemical Tbk (CAP), Indonesia's largest petrochemical company. This project involves construction of a polyethylene production unit of HDPE, LLDPE and mLLDPE with a total capacity of 400,000 tons/year at CAP’s existing petrochemical complex in Cilegon, Banten, on the western tip of Java, Indonesia.

Toyo Engineering Corporation (Toyo-Japan, President and CEO Kiyoshi Nakao) and Toyo Engineering Korea Limited (Toyo-Korea, President and CEO Toru Osanai) are in charge of detailed engineering and offshore supply services. On the other hand, PT. Inti Karya Persada Tehnik (IKPT, President and CEO Eiji Hosoi), TOYO’s Indonesian subsidiary is responsible for domestic procurement and construction work, respectively. The plant is scheduled for completion in 2019.

This is an EPC project following the Front End Engineering Design (FEED) contract awarded to Toyo-Korea at the beginning of this year. TOYO’s strong, long term relationship with CAP and various attractive and aggressive proposals under FEED were highly evaluated, leading to the awarding of this project.

Based on the long term relationship from the original ethylene plant in the 1990s, and a butadiene plant as well as ethylene expansion in the last half decade, TOYO is now executing several projects such as a synthetic rubber plant with a total capacity of 120,000 tons/year for PT. Synthetic Rubber Indonesia (a joint venture between Michelin and PT Styrindo Mono Indonesia, a subsidiary of CAP) and butadiene expansion project to increase total production capacity from 100,000 tons/year to 137,000 tons/year for PT Petrokimia Butadiene Indonesia (PBI), a subsidiary of CAP.

Contract Summary

Client PT Chandra Asri Petrochemical Tbk (CAP)
Contractors Toyo-Japan, Toyo-Korea and IKPT
Site Cilegon, Banten, on the western tip of Java, Indonesia
Facilities Polyethylene production unit (400,000 tons/year)
Scope Turnkey lump sum for detailed engineering, procurement, and construction services
Toyo-Japan and Toyo-Korea: Detailed engineering, offshore supply services
IKPT: Domestic procurement and construction work
Completion 2019
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