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Borealis announces R$18 million investment in Brazil

Borealis, a leading provider of innovative, value creating plastics solutions, will invest R$ 18 million in the acquisition of a new extrusion line to enlarge its Itatiba (SP) plant. Borealis has two production units in Brazil located in Itatiba (SP) and Triunfo (RS). The investment, which will serve the automotive and appliances markets, will increase the polypropylene (PP) compounding capacity of the plant by 11,000 tonnes per annum and is due for completion in mid-2008.

According to José Sarmento, Managing director of the company, "This investment reflects the commitment of Borealis to the Brazilian market, and reflects our responsiveness to meet our customer's increasing requests for PP compounds in the automotive sector. In addition to serving the Brazilian market, we aim to enhance our service to customers in Argentina".

"For Braskem, as Borealis' joint venture partner in Brazil, these segments are important not only in terms of product volume but also for the high level of technical requirements, which opens new perspectives to the innovation developments carried out at the Technological Centre in Triunfo. Therefore, we are pleased with the investment in Itatiba as it will boost our R&D activities", explains Rui Chammas, PP Business Director of Braskem.

With an in depth understanding of the value chain and a focus on customer needs, Borealis provides innovative, value creating PP solutions with optimum performance for automotive and appliance applications.

END

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Virginia Mesicek
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