Schumann-Sasol International AG and Petroleos de Venezuela SA unit Productos Especiales CA (Proesca) have signed a joint venture deal to produce and market specialty waxes, mainly in Latin America.
The venture, which involves an investment of about $60 million, will be known as Ceraven CA. Schumann-Sasol will hold a 51% stake in the new firm, while Proesca has a 49% share.
Schumann-Sasol is a joint venture of South Africa's Sasol Ltd. 67% and Germany's Schumann AG 33%.
Ceraven
Pdvsa said the new firm will build and operate a plant with capacity to produce more than 80,000 metric tons/year of specialty waxes. Initial output will be 51,000 tons/year.
The plant will be built in an industrial area near Pdvsa's Paraguan refining center, in Falcón state, northwestern Venezuela. Feedstock for the plant will come from the 571,000 b/d refining complex at Judibana.
The wax plant will use modern technology provided by Schumann-Sasol. A high-pressure hydrotreating unit at the Paraguan complex will be used to process the wax.
Ceraven will market the waxes in Latin America, where demand for the products has been increasing about 5%/year in recent years.
"Given the expected growth and the current deficit of production in Latin America, we are convinced that our sales projections will be quickly met," said Schumann-Sasol president Bruno Iversen. "In fact, we already have a sure market for about 20,000 tons/year of waxes in the region.
"Products that are manufactured by Ceraven in Venezuela will have the same high quality standards of our products made in Germany. We already are studying a second phase of this business that involves the use of state-of-the-art technology currently being developed by Schumann-Sasol."
Proesca president Remigio Fernandez said, "This association ratifies Pdvsa's commitment with the country's industrialization program and with the process of opening the national petroleum sector."
Copyright 1998 Oil & Gas Journal. All Rights Reserved.
