Royal Dutch Shell will officially inaugurate its Pulau Bukom petrochemical complex - Shell Eastern Petrochemicals Complex (SEPC), on May 4. Estimated to cost US$3 bln, the project has been almost five years in the making. Annual production includes 800,000 tpa of ethylene and 750,000 tpa of monoethylene glycol, etc. A key competitive advantage of SEPC is its proximity to Shell's Bukom refinery, which is highly integrated into the new complex, offering the flexibility to use different feedstock as demand changes.
Chief executive Peter Voser has shrugged off concerns of oversupply with other new petrochemical complexes coming up in Thailand, China and the Middle East, on confidence that the market would be able to absorb the plant's output on recovering demand.