With this investment, the partners will help meet the globally growing demands of customers in the flavour and fragrance industry, especially in Asia Pacific.
At the heart of the complex will be a plant for citral and precursor plants. The partners will also invest in downstream production for aroma ingredients, including a new world-scale plant for L-menthol and a plant for citronellol.
Production will be developed in phases, with the first plants of the project operational in 2016, creating some 110 new employment opportunities.
“This investment is built on the solid, long-term relationship with our strategic partner Petronas Chemicals Group (PCG),” said Dr Martin Brudermüller, vice chairman of the board of executive directors of BASF SE, responsible for Asia Pacific. “Since the establishment of our joint venture, BASF and PCG have successfully served the needs of the region with high-quality and innovative products.”
“With this strategic investment we are increasing our contribution to the aroma ingredients market to bring attractive fragrances and flavours to our daily lives,” said Saori Dubourg, president Asia Pacific BASF. “Embedding this investment into our Kuantan Verbund allows our customers to benefit from a global production network for their future growth plans in the Asia Pacific region.”
BASF’s product range includes geraniol, citronellol, linalool and L-menthol. Aroma ingredients are sold to the flavour and fragrance industry, and are used mainly in home and personal care products and fine fragrances, as well as in the food industry and in pharmaceutical applications.
Citral is nature-identical to the main component of many essential oils like lemongrass, and is used as fresh-citrus and fruity notes in fragrances and flavours. It is also used in the production of vitamins A and E and as precursor for aroma ingredients.
Citronellol is used for a fresh, powerful, and long-lasting rose fragrance, and is an indispensable component for numerous fresh-floral compounds. The cool freshness of L-menthol makes it popular as an ingredient in numerous products in oral care, body care, flavourings and in pharmaceutical applications.
BASF and PCG founded their joint venture BASF Petronas Chemicals Sdn Bhd in 1997.
Source: BASF/Petronas
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