PTT Chemical secures palm oil supply

PTT Chemical, the petrochemical arm of PTT Plc, has secured a bulk supply of palm oil from four local companies to fuel its project to produce raw materials for personal care and cosmetic products. The company signed an agreement with four palm oil makers, Lam Soon (Thailand) Plc, United Palm Oil Industry Plc, Chumporn Palm Oil Industry and Palm Biz Corporation Ltd., to secure raw materials for its downstream subsidiary, Thai Oleochemicals Co (TOL). Under the agreement, the four will join hands to supply TOL with between 50,000 and 100,000 tons per year of crude palm oil. The deal will come into effect when TOL starts its US$170-million production plant in the last quarter of this year, according to Aditheb Bisalbutr, president of PTT Chemical. (July 17, 2007)