LUDWIGSHAFEN, Germany (Aug. 2)—BASF A.G. and Dow Chemical Co. will jointly develop a direct propylene oxide production route, using hydrogen peroxide as an oxidizing agent. Propylene oxide is a basic raw material in the production of polyurethane components. BASF and Dow will combine their patents in this field as well as experience with pilot HP-PO processes, the companies said. Dow's input will be based on technology gained through its May 2001 acquisition of EniChem's polyurethanes business—a pioneer in HP-PO technology. BASF, which has been developing the technology since 1995, recently announced plans to establish a 250,000 metric ton HP-PO facility, in co-operation with Solvay S.A., a major HP producer.