BASF is at the moment successively increasing its production capacity for ethylene oxide at its Ludwigshafen and Antwerp sites. Most of the work will be performed during the next planned
shutdowns in 2008 and 2009. This will increase BASF’s capacity for ethylene oxide in Europe from 705,000 to 845,000 metric tons per year. A total of 345,000 metric tons per year will be
produced in Ludwigshafen and a further 500,000 metric tons per year in Antwerp.

“Increasing our capacity for ethylene oxide will further strengthen our position in the market and equip us for the future”, said Dr. Albert Heuser, President of the Petrochemicals division at
BASF. “It will enable us to respond to growing demand, especially for ethylene oxide derivatives, and to ensure that the market is reliably supplied in the medium term.”

BASF mainly produces ethylene oxide for its own use. The most important derivatives of ethylene oxide are surfactants, ethanolamines, glycol ethers and polyols. Derivatives of ethylene oxide
are employed in a wide variety of applications in the construction industry and the packaging industry through to automobiles and detergents.

This new investment will further strengthen the added value chain for ethylene oxide within BASF. When this work has been completed, BASF’s ethylene oxide plant in Antwerp will be the largest
in Europe and it will be one of the largest production manufacturing facilities with integrated derivative production in the world. With its extended capacity in Ludwigshafen, BASF will
reinforce its position as the second largest producer of ethylene oxide and largest producer of derivatives of ethylene oxide in Europe.