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Petrobras to supply naphtha feedstock to Braskem

Brazilian petrochemical major Braskem has signed a contract with state-run producer Petrobras for the supply of naphtha feedstock, the company confirmed on Tuesday.

The new contract, which continues the terms of a previous naphtha deal, is valid until the end of October, according to a report from news agency Reuters.

Braskem said in a statement that it continues to work with Petrobras to reach a long-term solution for naphtha supply.

Npahtha is the main raw material for most of Braskem's chemical and plastic products. However, the contract has come under intense scrutiny in recent weeks after allegations of bribery surfaced regarding prior contracts.

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