Petronas Chemicals Group (PCG) and LG Chem have agreed to cooperate in building a new Nitrile Butadiene Latex (NBL) manufacturing site in Malaysia. The new facility will be constructed at Pengerang Integrated Complex (PIC) in Johor, starting in 2021. The new plant is expected to begin commercial operation in 2023 with a capacity of 200,000 tons/year.
NBL is a synthetic rubber used to make nitrile gloves and requires butadiene as feedstock. The plant is aimed to meet the growing demand for nitrile gloves, which are widely used in the food, medical, and healthcare industries. The new plant will also reinforce Malaysia’s position as the world’s largest glove exporter. Both companies will also perform continuous Research & Development (R&D) and investments to develop new value-added products.