Midland, Michigan - Dow Chemical Co. has announced that with Mitsui & Co. Ltd of Tokyo, it has completed the formation of a previously announced 50:50 manufacturing joint venture.
This JV will construct, own and operate an 800-kilotonnes-per-annum capacity membrane chlor-alkali facility at Dow's Freeport, Texas, manufacturing complex. The companies also announced their appointments to the joint venture management team, 16 Dec 2010.
Mitsui's 1 July announcement on the venture said it would invest about $140 million in the project.
Dow-Mitsui Chlor-Alkali llc will combine the strengths of two global companies to build a world-scale chlor-alkali plant on the US Gulf Coast. Dow's statement said that the plant will drive integration advantage for downstream businesses and customers.
Dow will operate and maintain the new facility under contract to the joint venture.
Dow said its share of the chlorine produced by the JV will serve the growing feedstock needs of the its businesses with cost-advantaged chlorine supply.
Dow will market the caustic soda on behalf of the venture. Mitsui's share of the chlorine produced will be converted to ethylene dichloride (EDC) by Dow for Mitsui to market world-wide.
The facility is expected to begin operations in mid-2013, and will create approximately 50 long-term jobs at Freeport.
The JV's management team is:
* Todd Prey, chief executive officer.
* Koichiro Tago, chief financial officer.
* Kyle Shelton, manufacturing director.
* Kenta Morii, supply chain director.
PIC Mitsui issued this chart showing the integration of its chlor-alkali business products.