Petronas Pens Agreement with Chinese Consortium for Additional Olefins Storage Facilities

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KUALA LUMPUR – PRPC Refinery & Cracker Sdn Bhd (PRPC RC) recently signed the Engineering, Procurement, Construction and Commissioning (EPCC) contract for the development of additional olefins storage facilities within the Pengerang Integrated Complex (PIC).

The EPCC contract was signed by PRPC RC with a Consortium of China Petroleum Pipeline Bureau (CPP) & CPP Petroleum Engineering (M) Sdn Bhd.

(from left) President of China Petroleum Pipeline Bureau, Zhao Yujian and PETRONAS’ Senior Vice President & CEO of PETRONAS Refinery and Petrochemical Corporation Sdn Bhd, Ir Dr Colin Wong Hee Huing signing the EPCC agreement.

Under the EPCC contract, the consortium undertakes to to build four 1,750MT butadiene bullet tanks, four 2,500MT propylene sphere tanks and one 12,000MT double-walled cryogenic ethylene tank, as well as to provide the necessary utility systems.

The construction of the butadiene bullet tanks is expected to be completed by end 2018, while the propylene sphere tanks and the cryogenic ethylene tanks are scheduled to be ready by end Q1 and Q3 2019, respectively.

The signing of the agreement was held in Langfang, China. Present to sign the contract were PETRONAS’ Senior Vice President and CEO of PETRONAS Refinery And Petrochemical Corporation Sdn Bhd, Ir Dr Colin Wong Hee Huing; President of China Petroleum Pipeline Bureau, Mr Zhao Yujian and Chief Manager of CPP Petroleum Engineering (M) Sdn Bhd, Mr Wang Haitao.

President of China Petroleum Pipeline Bureau, Zhao Yujian (left) and PETRONAS’ Senior Vice President & CEO of PETRONAS Refinery and Petrochemical Corporation Sdn Bhd, Ir Dr Colin Wong Hee Huing exchanging documents after the signing ceremony.

The USD27 billion PIC is the largest downstream investment ever undertaken by PETRONAS. Developed on a single site of 6,242 acres, the PIC is supported by associated facilities which comprises the Pengerang Co-generation Plant (PCP), an LNG re-gasification terminal, a raw water supply project (PAMER), the Pengerang Deepwater Terminal, as well as Centralised and Shared Utilities and Facilities.