Celanese Announces Advancement of MOU with PERTAMINA to Develop Fuel Ethanol Projects in Indonesia

Celanese Announces Advancement of MOU with PERTAMINA to Develop Fuel Ethanol Projects in Indonesia

JAKARTA, Indonesia & DALLAS--(BUSINESS WIRE)-- Celanese Corporation (NYS: CE) , a global technology and specialty materials company, today announced it signed a Memorandum of Understanding (MOU) with Pertamina, the state-owned energy company of the Republic of Indonesia, and will begin the detailed project planning phase for the development of fuel ethanol projects in Indonesia.

In line with its long-term strategy to develop new and domestic energy capabilities, Pertamina is working with Celanese to jointly develop synthetic fuel ethanol projects in Indonesia utilizing Celanese's proprietary TCX® ethanol process technology.


Celanese and Pertamina have successfully completed the objectives of the previously announced Joint Statement of Cooperation, which included identifying potential production locations, confirming coal supply options and developing an ethanol distribution strategy. The MOU outlines the parties' intentions to establish a joint venture partnership under which Celanese would maintain a majority share and would license its leading TCX® Technology to the joint venture under a separate technology licensing agreement. The detailed financial terms of the joint venture partnership and licensing arrangement have not been finalized; however, the capital investment and financial returns for the venture are expected to be consistent with those previously announced by Celanese for fuel ethanol projects.

Under the detailed project planning phase of the MOU, Celanese and Pertamina will select the first production location, initiate project permitting, and negotiate coal supply and other industrial partner agreements. Celanese and Pertamina expect to complete this phase of the MOU by the end of 2013.

Celanese and Pertamina expect the production of fuel grade ethanol to begin approximately 30 months after final investment decisions by each company and receiving all necessary government approvals.

"Celanese is pleased to support the Indonesian government's long-term objectives for the use of its abundant local resources, specifically lower BTU-content coal, to drive economic development. Working with Pertamina, we are excited to demonstrate how our TCX® Technology will help Indonesia achieve its objectives," said Mark Rohr, chairman and chief executive officer, Celanese Corporation.

Karen Agustiawan, President Director and CEO, PT Pertamina (Persero), said: "The development of ethanol business is in line with the Government of the Republic of Indonesia's policy to implement Indonesian target in Energy Mix 2025. This initiative has triggered us, the National Energy Company of Indonesia, to develop clean, renewable energy and new energy for diversification, by increasing the contribution from gas and other non-fossil energy contribution, as well as liquefaction coal which is targeted to contribute about 2 percent by 2025. To meet this goal, we are pleased to partner with Celanese on the development and application of new forms of energy, such as synthetic fuel ethanol."

About Celanese

Celanese Corporation is a global technology leader in the production of differentiated chemistry solutions and specialty materials used in most major industries and consumer applications. With sales almost equally divided between North America, Europe and Asia, the company uses the full breadth of its global chemistry, technology and business expertise to create value for customers and the corporation. Celanese partners with customers to solve their most critical needs while making a positive impact on its communities and the world. Based in Dallas, Texas, Celanese employs approximately 7,600 employees worldwide and had 2012 net sales of $6.4 billion. For more information about Celanese Corporation and its product offerings, visit www.celanese.com or our blog at www.celaneseblog.com

About Celanese TCX ® Technology

Celanese TCX ® Technology, an innovative ethanol production process, helps countries that seek diverse, secure transportation fuel meet their growing needs by converting domestic natural gas and coal feedstocks to liquid fuel. For more information, visit www.celanesetcx.com .

Forward-Looking Statements

This release may contain "forward-looking statements," which include information concerning the company's plans, objectives, goals, strategies, future revenues or performance, capital expenditures, financing needs and other information that is not historical information. When used in this release, the words "outlook," "forecast," "estimates," "expects," "anticipates," "projects," "plans," "intends," "believes," "may," "can," "could," "might," "will" and variations of such words or similar expressions are intended to identify forward-looking statements. All forward-looking statements are based upon current expectations and beliefs and various assumptions. There can be no assurance that the company will realize these expectations or that these beliefs will prove correct, including that any one or more plants will be constructed or will operate on the schedule or with the terms desired by the company. There are a number of risks and uncertainties that could cause actual results to differ materially from the results expressed or implied in the forward-looking statements contained in this release. These risks and uncertainties include, among other things: changes in general economic, business, political and regulatory conditions; changes in the price and availability of raw materials; the ability to improve productivity by implementing technological improvements; increased price competition and the introduction of competing products by other companies; market acceptance of our technology; the ability to obtain governmental approvals and to construct facilities on terms and schedules acceptable to the company; unavailability of required materials and equipment; unanticipated operational or commercial difficulties, including failure of facilities or processes to operate in accordance with specifications or expectations; the ability to achieve and maintain plant utilization; ability of third parties, including our commercial partners, suppliers or others, to comply with their commitments to us; the cost or availability of capital necessary to fund plant construction; changes in the degree of intellectual property and other legal protection afforded to our products or technology, or the theft of such intellectual property; compliance and other costs and potential disruption or interruption of production or operations due to accidents, cyber security incidents, terrorism or political unrest or other unforeseen events or delays in construction or operation of facilities, including the occurrence of acts of war or terrorist incidents or as a result of weather or natural disasters; potential liability for remedial actions and increased costs under existing or future environmental regulations, including those relating to climate change; potential liability resulting from pending or future litigation, or from changes in the laws, regulations or policies of governments or other governmental activities in the countries in which we operate; changes in currency exchange rates and interest rates; and various other factors discussed from time to time in the company's filings with the Securities and Exchange Commission. Any forward-looking statement speaks only as of the date on which it is made, and the company undertakes no obligation to update any forward-looking statements to reflect events or circumstances after the date on which it is made or to reflect the occurrence of anticipated or unanticipated events or circumstances.



Celanese Corporation
Investor Relations
Jon Puckett, +1-972-443-4965
Telefax: +1-972-443-8519
Jon.Puckett@celanese.com
or
Media Relations
Travis Jacobsen, +1-972-443-3750
Telefax: +1-972-443-8519
William.Jacobsen@celanese.com

KEYWORDS:   United States  Asia Pacific  North America  Texas  Indonesia

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