Petronas Chemicals Group's maleic anhydride (MAn) plant in Gebeng.
KUALA LUMPUR: Petronas Chemicals Group Bhd
(PetChem) has reached the final investment decision (FID) to fully acquire the 113 kilo-tonnes per annum maleic anhydride (MAn) plant in Gebeng, Kuantan, from BASF Petronas Chemicals Sdn Bhd (BPC).
The plant will broaden PetChem’s product portfolio and its derivatives to further strengthen the group’s derivatives product offerings.
The FID signifies the start of the plant’s project execution phase that will upgrade and rejuvenate the facilities to produce refined MAn, which is targeted to be ready by the second half of 2025 (2H25), managing director and chief executive officer Mohd Yusri Mohamed Yusof said in a statement.
“The FID on the MAn plant signifies the strong commitment towards capturing new growth opportunities through diversification into derivatives and speciality chemicals.
“This will also allow us to produce MAn to meet rising demands from customers in Asia-Pacific and Indian subcontinents while exploring potential opportunities in European and Middle Eastern markets.
“Furthermore, the plant will enable future integration of MAn speciality chemical derivatives with both our subsidiaries Perstorp and BRB International to deliver innovative solutions, along with possible synergies with other MAn downstream manufacturers in Malaysia,” added Yusri.
MAn is mainly used in the production of unsaturated polyester resins, paints and food flavouring.
The MAn plant, previously managed by PetChem’s joint-venture company, BASF Petronas Chemicals Sdn Bhd (BPC), will now be operated by PetChem’s subsidiary, PETRONAS Chemicals MTBE Sdn Bhd, following the completion of the acquisition. — Bernama
