As another of PetroleumBRUNEI’s commitment and contribution to the national aspiration of widening the industrial base of the nation’s hydrocarbon resources, PetroleumBRUNEI entered into a joint venture agreement with Mitsubishi Gas Chemical Company Inc. and ITOCHU Corporation on 21st November 2005 to develop an 850,000 metric tonnes/year methanol plant.

Subsequently the Brunei Methanol Company (BMC) was incorporated by the three joint venture partners on 13th March 2006 to manage and develop the Brunei Darussalam Methanol Project. PetroleumBRUNEI has taken a 25% equity interest in BMC to play a direct and active part in this most significant leap in Brunei Darussalam’s industrial development since the 1970’s.

The project has successfully attracted financing from major banks such as the Japan Bank for International Co-operation.

The plant will be located in Sungai Liang Industrial Park in the Belait District. Mitsubishi Heavy Industries Ltd is responsible for the engineering, procurement and construction of the US$400 million plant. Construction has begun and the plant will commence operation in 2010.

Industries such as these, once operational, will contribute to the nation’s economic growth and development through the creation of new opportunities for Small Medium Enterprises (SMEs) and other local businesses. Greater employment opportunities will also be opened up to the country’s ever increasing number of new graduates.

The Brunei Darussalam Methanol Project will offer direct employment opportunities to approximately 160 people. It is targeted that within two years from the start of commercial operation, 90% of the employees will be Bruneians, increasing to 95% within five years.

PetroleumBRUNEI has made its Final Investment Decision to invest in methanol tankers with partners comprising of Kokuya Sangyo Co. Ltd, a subsidiary of Mitsubishi Gas Chemical, and ITOCHU Corporation. The first tanker will be delivered in 2010, and will be used to transport the “made in Brunei” methanol to buyers in the region.