Dow in petrochemical joint venture with National Oil Corp. (NOC) of Libya

19-Apr-07

In line with its strategy to grow its position in Basic Plastics and Chemicals through joint ventures, Dow Chemical has finalised a joint venture to augment petrochemical production at a plant in Ras Lanuf, Libya. Dow's JV partner will be National Oil Corp. (NOC) of Libya. The JV will benefit from an advantaged strategic location on the Mediterranean and competitive feedstock. Currently, the site in Ras Lanuf includes a naphtha cracker and two polyethylene plants, all of which will be refurbished and expanded under the agreement. Dow and the NOC will also build an ethane cracker, additional polyethylene and polypropylene plants, and natural gas-based plants for manufacturing hydrocarbons, plastics and chemicals. Libya has recently embarked on a policy of attracting foreign expertise and investments which will lead to further reintegration into the global economy. Dow is the first global chemical company to participate in such economic development of the Libyan petrochemical industry. The investment supports the Libyan government's economic policy in diversifying its domestic economy by expanding its downstream industries; including petrochemical and basic product manufacturing.