Indonesia's Chandra Asri Completes Strategic Investment Transaction for USD 200 Million Chlor-Alkali Project

en.Wedoany.com Reported - On October 15, Indonesia's Chandra Asri Group announced that it had completed the strategic investment transaction for the chlor-alkali and ethylene dichloride (CA-EDC) project with Danantara Investment Management and Indonesia Investment Authority. The project is located in Cilegon, Banten Province, with a total investment of approximately USD 800 million, and the two investment institutions had previously agreed to jointly invest USD 200 million. Phase I of the plant is planned to produce 400,000 tons per year of caustic soda and 500,000 tons per year of ethylene dichloride, with commercial operations scheduled to begin in 2027.

The project is developed and operated by PT Chandra Asri Alkali, a subsidiary of Chandra Asri Group. The three parties signed a conditional share subscription agreement on March 3, 2026, confirming the two investment institutions' joint participation in the project investment. Following the completion of this transaction, Danantara Investment Management and Indonesia Investment Authority have officially become shareholders of PT Chandra Asri Alkali.

As of September 2026, overall construction progress of the plant stood at approximately 80%, and the project has entered the installation phase for major process equipment, including process vessels, heat exchangers, pumps, compressors and absorption towers. Supporting jetty, trestle and storage facilities are being constructed concurrently, and the related works will serve the storage and transportation of raw materials and chemical products.

After the plant is commissioned, caustic soda products are planned to supply domestic industrial users in Indonesia such as alumina refineries, while ethylene dichloride products will target export markets. The project is expected to provide approximately 3,000 jobs during construction and approximately 250 permanent positions after formal operations begin.