Braskem Announces New Petrochemical Project in Mexico

SAO PAULO, Nov. 9 /PRNewswire/ -- Braskem S.A. ("Braskem"), in compliance with
CVM Instruction 358/02, announces to shareholders and the market that, in
association with IDESA, a traditional Mexican corporate group, it won the
auction held by Pemex Gas, a state-owned Mexican company, for the acquisition
of ethane, which will be used as feedstock for an integrated petrochemical
project to be developed in that country ("Project Ethylene XXI").

Project Ethylene XXI, which is scheduled to start operations in 2015 and will
be located in the Coatzacoalcos Petrochemical Complex in the Mexican state of
Veracruz, has the main objective of supplying Mexico's domestic market, which
is currently a polyethylene importer. The Project will be installed and
operated through a joint venture to be created, with IDESA's participation and
controlled by Braskem. IDESA, a Mexican company with an active presence in
international markets, has three business areas: Petrochemicals, Distribution
and Construction Systems. It operates several production and commercial
companies through strategic alliances of recognized prestige and that are
leaders in their respective markets.

Project Ethylene XXI will comprise (i) the acquisition, at competitive
conditions, of ethane from Pemex Gas for a period of 20 years, (ii) the
construction of a cracker unit that will use the ethane acquired as feedstock
for the production of 1 million tons/year of ethylene, (iii) the construction
of three integrated polymerization units for the production of 1 million
tons/year of polyethylene.

The investment initially estimated for its implementation is up to US$ 2.5
billion over the course of 5 years, with shareholders planning to adopt a
project finance model, with at least 70% financed through debt and the
remaining 40% with shareholders' own capital. Braskem's board of directors has
until December 2010 to come to a final investment decision.

Mexico currently imports over 1 million tons/year of polyethylene. Project
Ethylene XXI integrates and complements Braskem's strategy to become a resins
leader in the Americas.

For additional information, please contact Braskem's Investor Relations Area:

SOURCE Braskem S.A.

Luciana Paulo Ferreira, +55-11-3576-9178, or luciana.ferreira@braskem.com.br,
Roberta Pimphari Varella, +55-11-3576-9266, or roberta.varella@braskem.com.br,
Cintia Watai, +55-11-3576-9615, or cintia.watai@braskem.com.br, Marina Dalben,
+55-11-3576-9716, or marina.dalben@braskem.com.br, all of Braskem S.A.