Taiwan to invest in RI

Taiwan to invest in RI

TAIPEI (Reuter): Taiwan's state-run Chinese Petroleum Corp
said yesterday it would sign a memorandum of understanding with
seven Taiwan petrochemical companies to coordinate investment in
Indonesia.

CPC spokesman Fang Yi-Shan said the pact would set out
guidelines for investments by the eight firms in projects related
to CPC's No.2 naphtha cracker, which it plans to move to
Indonesia from Kaohsiung in southern Taiwan.

The seven Taiwan petrochemical firms will be invited to
establish plants along with CPC's Indonesia project, he said.

A schedule for when the memorandum would be signed and other
details were not available.

The seven petrochemical firms are Oriental Union, Union Petro
Chem, TWN Synthetic Rubber, Grain Petrochem, Formosa Union, Chi
Mei and Yuen Liang Industrial.

Under plans announced by CPC in August 1995, construction of
the No.2 cracker in Indonesia would begin in 1998. It would have
annual production capacity of 230,000 tons of ethylene.