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BASF to build plant for sodium methylate in Brazil

(PresseBox) (Ludwigshafen, ) .
- World-scale plant with a capacity of 60,000 metric tons
- Start of operations scheduled for 2010
- Catalyst for production of biodiesel

BASF is planning to construct a production plant for sodium methylate in Guaratinguetá, Brazil, its largest site in South America. The plant, which will have a capacity of 60,000 metric tons per year, will be the first such plant for this product in South America and is primarily intended to supply the regional market.

Sodium methylate is an efficient catalyst for the production of biodiesel, which has developed into an alternative for diesel fuels in the past 10 years. Biodiesel is able to meet the requirements of engine manufacturers for high-quality fuels.

"We expect annual global demand for biodiesel to increase to about 18 billion tons in coming years. About 15 percent of this amount will come from South America," said Dr. Ulrich Büschges, Group Vice President of BASF's global business unit Inorganic Specialties. "We want to respond to the growing needs of our customers with this investment," added Dr. Frank Prechtl, Business Manager Alcoholates.

Legislation planned in Brazil will require fuel to contain 3 percent biodiesel by 2013, and this figure is set to rise to 5 percent.

Argentina has mandated that biodiesel makes up 5 percent of fuel by 2010. Other South American countries have similar plans.

You can find further information about sodium methylate and alcoholates at www.alcoholates.com and www.inorganics.basf.com.

BASF AG

BASF is the world's leading chemical company: The Chemical Company. Its portfolio ranges from oil and gas to chemicals, plastics, performance products, agricultural products and fine chemicals. As a reliable partner BASF helps its customers in virtually all industries to be more successful. With its high-value products and intelligent solutions, BASF plays an important role in finding answers to global challenges such as climate protection, energy efficiency, nutrition and mobility. BASF has more than 95,000 employees and posted sales of almost €58 billion in 2007. Further information on BASF is available on the Internet at www.basf.com.