BRASKEM HAS THE FIRST CERTIFIEDGREEN POLYETHYLENE IN THE WORLD
Company studies project for commercial production of plastic
made from ethanol starting in 2009
Braskem, the leading company in the thermoplastic resins segment in Latin America andsecond largest Brazilian industrial company owned by the private sector, announces
production of the first internationally certified polyethylene made from sugarcane ethanol,using competitive technologies developed at the company’s Technology and Innovation
Center. The certification was conducted by a leading international laboratory, Beta Analytic,
which certified that the product contained 100% renewable raw materials. This international
groundbreaking development by Braskem is aligned with its technological and innovation
strategy and its commitment to fostering sustainable development, fulfilling the expectationsof both Brazilian and international society for initiatives that contribute materially to reducing
the greenhouse effect.
The green polymer developed by Braskem – a high-density polyethylene, one of the resins
most widely used in flexible packagings – is the result of a research and development projectthat has already received some US$ 5 million in investment. Part of this amount wasallocated to implementing a pilot unit for the production of ethane, which is the basis for theproduction of polyethylene, from renewable feedstock at the Braskem Technology andInnovation

Center,whichdevelopment of the product.

isalreadyproducing

sufficientquantities

The project’s target customer will soonforcommercial

receive the green

polyethylene and have the opportunity to confirm the performance of the product, which canmeet all of the quality standards required to be competitive in the international market.
“The leadership of Braskem in the green polyethylene project confirms our commitment toinnovation and sustainable development, and creates a very favorable outlook for thedevelopment of plastic products made from renewable raw materials, a field in which Brazil
has natural competitive advantages”, said Braskem CEO José Carlos Grubisich.
The project is now in technical and economic specification process and the startup of green
polyethylene production on an industrial scale is expected in late 2009. The new unit will
have modern technology and competitive scale, and could reach annual production capacityof up to 200,000 tonnes. The location and industrial design of the unit will be determinedwithin the next few months.

The production of plastics from ethanol seeks to supply the main international markets that
require products with superior performance and quality, in particular the automotive, foodpackaging, cosmetics and personal-hygiene industries. Evaluations conducted in the initial
phase of the project ascertained enormous potential for growth and appreciation in the green
polymer market. Since both resins are equal in terms of properties and performance, theplastics manufacturing industry should benefit from this important development with no needto invest in new industrial equipment.
“Braskem is extremely proud to be at the forefront of a technological breakthrough thataligns the interests of the company, our shareholders, clients and consumers, and that above
all else is a great source of pride among Brazilians”, concludes Grubisich.

Braskem, a world-class Brazilian petrochemical company, is the leader inthermoplastic resins in Latin America and is ranked among the three largest private
industrial companies with Brazilian capital. With 14 industrial plants distributed
throughout Brazil, the company produces over 6.0 million tons of thermoplastic
resin and other petrochemical products annually.

30/05/2007
For additional information, please contact:
Fernanda Zanichelli /CL-A Comunicações
Phone: (+5511) 3443-9099 / (+5511) 3082-3977 Ext, 27
fernanda@gruparc.com.br