Tuesday, September 7, 2010

Petronas to list Petronas Chemicals Group, total assets RM26.89b

KUALA LUMPUR: Petroliam Nasional Bhd (Petronas) has released the draft prospectus for Petronas Chemicals Group Bhd, formerly Kuantan Terminal Sdn Bhd, which has total assets of RM26.98 billion as at March 31, 2010.

The draft showed Petronas Chemicals posted net profit of RM2.59 billion on the back of RM12.20 billion in revenue for the financial year ended March 21, 2010.

Petronas Chemicals Group, the leading integrated petrochemicals producer in Malaysia and one of the largest in Southeast Asia, said it intends to strategically increase its production capacity through enhancements to our existing facilities and potentially through investments in new facilities.

CIMB Investment Bank Berhad is the principal adviser, managing underwriter and retail underwriter. The joint global coordinators and joint bookrunners are CIMB Investment Bank, Deutsche Bank AG, Hong Kong Branch and Morgan Stanley & Co. International plc.

'We are considering making operational improvements to our two ethylene crackers at the Kertih IPC to enable us to extract even greater value from our ethane feedstock. In addition, we are also reviewing debottlenecking projects for certain upstream product processes to maximise our ability to produce higher value added products further downstream,' it said.

It said to capitalise further on Malaysia's advantages as a petrochemicals production hub, it intends to examine adding new plants and facilities in Malaysia.

'We may also review opportunities to expand our production capacity outside Malaysia. In particular, we are studying the possibility of developing a greenfield ammonia and urea production facility that would be supplied with natural gas feedstock available off the coast of East Malaysia,' it said.

Petronas Chemicals also said Petronas was studying a greenfield project to develop an integrated refinery and petrochemicals complex in Peninsular Malaysia that would produce, among other things, naphtha for use as feedstock for petrochemical products.

'With Petronas currently taking the lead in evaluating the project, we expect to become more closely involved in examining the project at a suitable juncture,' it said.


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