TOYO Awarded Petrochemical Project in IndonesiaMay 31, 2018

Toyo Engineering Group (TOYO) has been awarded a construction project by PT Chandra Asri Petrochemical Tbk (CAP), Indonesia's largest petrochemical company, and its subsidiary PT Petrokimia Butadiene Indonesia (PBI). This project involves the construction of Butene-1 production unit with capacity of 43,000 tons/year and Methyl tert-butyl ether production unit with capacity of 127,000 tons/year commissioned by PBI, as well as an Enclosed Ground Flare with capacity of 220 tons/hour commissioned by CAP. They are to be constructed inside CAP’s existing petrochemical complex in Cilegon, Banten, on the western tip of Java,Indonesia.

Toyo Engineering Corporation (Toyo-Japan, President and CEO Haruo Nagamatsu) is in charge of a part of engineering and offshore supply services. On the other hand, PT. Inti Karya Persada Tehnik (IKPT, President and CEO Yasuhiro Hime), TOYO’s Indonesian subsidiary, is responsible for engineering, domestic procurement and construction work, respectively. The plant is scheduled for completion in 2020.

This is an EPC contract awarded to TOYO based on TOYO’s strong, long term relationship with CAP and various attractive and aggressive proposals during tender stage were highly evaluated, leading to the awarding of this project.

Starting 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 polyethylene production plant with a total capacity of 400,000 tons/year for CAP, 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

Clients PT Chandra Asri Petrochemical Tbk (CAP) and
PT Petrokimia Butadiene Indonesia (PBI)
Contractors Toyo Engineering Corporation(Toyo-Japan) and
PT. Inti Karya Persada Tehnik (IKPT)
Site Cilegon, Banten, on the western tip of Java, Indonesia
Facilities For PBI: Butene-1 production unit (43,000 tons/year) and Methyl tert-butyl ether production unit (127,000 tons/year)
For CAP: Enclosed Ground Flare (220 tons/hour)
Contract Type Turnkey lump sum for engineering, procurement, and construction services
Toyo-Japan: A part of engineering and offshore supply services
IKPT: Engineering, domestic procurement, construction work and commissioning support
Completion 2020
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