PetChem aims 10%-15% revenue from PIC  

by SHAHEERA AZNAM SHAH/ pic by PETRONAS

Petronas Chemicals Group Bhd (PetChem) is projecting a 10% to 15% of its revenue stream to derive from the Pengerang Integrated Complex (PIC) in Johor.

Its chairman Datuk Md Arif Mahmood said the contribution is expected to materialise once the petroleum complex reaches its full capacity of processing 1.8 million tonnes of chemicals in 2022.

“The plan is to gear up the complex to commence in the second half of this year. Typically when we start a complex, it would not be running at full capacity.

“So this year, the plant’s capacity will be less than 1 million tonnes, around 0.7

“If we can run the facility fully stable, we will ramp it up to a full capacity and depending on the current market price, we expect a 10% to 15% addition to the overall revenue,” he said during a virtual press conference today.

The petroleum complex is part of the mega-project Pengerang Integrated Petroleum Complex (PIPC) which began its development in 2012.

The PIC has the capacity of refining 300,000 barrels-per-day (bpd) of crude oil and was designed to produce premium differentiated petrochemicals to meet the domestic demand and the government’s future legislative requirements on the implementation of Euro 5.

The completion of the refinery complex has been delayed for more than two years as it was initially slated to begin operation in early 2019.