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.