Petronas Chemicals to build melamine plant in Kedah

by BERNAMA / pic by TMR FILE 

KUALA LUMPUR – Petronas Chemicals Group Bhd (PCG) will build a 60,000-tonnes per annum melamine plant in Gurun, Kedah, making it the sole melamine producer in Southeast Asia (SEA).

Targeted to come onstream in 2024, this project is in line with the company’s growth journey to expand into derivatives by adding value to the molecules from its existing products such as urea, methanol, polyolefins, and others.

PCG, through its wholly-owned subsidiary, Petronas Chemicals Fertiliser Kedah (PCFK), will be using the urea produced from PCFK as the feedstock to produce melamine.

“This is a significant milestone for the group and further strengthens our strategy to diversify our product portfolio,” PCG managing director/chief executive officer Mohd Yusri Mohamed Yusof said in a statement.

“By housing the plant within the vicinity of PCFK, the group would be able to maximise the overall value through the integration of feedstock and utilities with the existing PCFK facility,” he added.

PCG is the leading integrated chemicals producer in Malaysia and one of the largest in SEA.

It operates a number of world-class production sites, which are fully vertically integrated from feedstock to downstream end-products.

With a total combined production capacity of 12.8 million tonnes per annum, the company is involved primarily in manufacturing, marketing and selling a diversified range of chemical products, including olefins, polymers, fertilisers, methanol, and other basic chemicals and derivative products.