LABIX starts linear Alkylbenzene production in Thailand


labix

LABIX Company, a joint venture between Japan-based Mitsui and a fully-owned subsidiary of Thai Oil Public Company, has started production at its linear alkylbenzene (LAB) plant located in Si Racha, Chonburi Province, Thailand.

With the plant, which has 100,000t per year capacity, Thai Oil petrochemical is claimed to have become the first integrated LAB producing company in Southeast Asia.

LAB is used to produce detergents as a petroleum-derived raw material, and the increasing demand for detergents and LAB in Southeast Asia is projected to increase as population levels rise.

“LABIX is benefitted from Thai Oil's continued supply of competitive raw materials and operational skills, as well as Mitsui's network of sales.”

Established in 2013, LABIX is benefitted from Thai Oil's continued supply of competitive raw materials and operational skills, as well as Mitsui's network of sales.

Mitsui is already producing and selling palm-oil-derived natural raw materials for detergents and surfactants in Malaysia and China, and, with the start of production at LABIX, Mitsui aims to focus in both the naturally derived and petrochemical raw materials businesses for detergents.

The company also intends to expand its customer relationships and pursue new business development from the new LAB plant.

Earlier this month the company signed an agreement with Behn Meyer (BM), a distributor of chemicals in Southeast Asia, to establish a Singapore-based investment company, BMM Venture.

Following the recently signed deal, Mitsui will acquire a 49% equity stake in BMM.

Additionally, BMM entered into an agreement with Myanmar Agribusiness to establish a company, Agri First (AFC), to manufacture and distribute imported fertilisers in Myanmar.


Image: LABIX starts 100,000t per year linear Alkylbenzene production plant in Thailand. Photo: courtesy of Mitsui & co ltd