Chandra Asri Petrochemical to revamp Cilegon naphtha cracker in January to production capacity

07-Nov-13

Chandra Asri Petrochemical (TPIA), Indonesia’s largest petrochemical company, plans to start revamp of its naphtha cracker plant in Cilegon, Banten, in January 2014, to help boost its production capacity, as per Jakarta Post. The overhaul, which will include the purchase of new machinery, will cost approximately US$380 mln. Funds will be raised by issue of shares and borrowing from several foreign banks, as per ogj.com. On the cards is a plan to modify the plant’s machines and add more furnaces to boost our overall production capacity of its ethylene, propylene, Mixed C4 and Pyrolysis gasoline or Pygas compounds. The company would increase its ethylene production to 860,000 tpa from the current 600,000 tons, and increase propylene production to 470,000 tpa from 320,000 tpa. Production of Mixed C4 is expected to increase from 220,000 tons to 315,000 tpa, while Pygas will increase to 400,000 tpa from 280,000 tpa. Japan’s Toyo Engineering Corp. was finalizing the engineering design for the plant’s modification, which is expected to be completed by the third quarter of 2015 with operations beginning in early 2016.