Pertamina and Chandra Asri call off petrochemical joint venture deal

01-Jul-13

State energy firm Pertamina has decided to call off a deal with Chandra Asri Petrochemical, Indonesia’s largest petrochemical producer, to establish a joint venture to build a petrochemical plant. An MoU was signed in December between Pertamina and Chandra Asri to perform a feasibility study for building a petrochemical facility. The agreement was predicated on the establishment of a joint venture. “After conducting joint studies, Pertamina and Chandra Asri Petrochemical agreed to end the memorandum of understanding out of mutual interest for the reason that both parties can not reach an agreement on terms of the planned joint venture,” Ali Mundakir, Pertamina’s vice president for corporate communication, said, refusing to disclose further details.