In 2023, PTT Plc's PTT Global Chemical Plc (PTTGC) aims to raise the production of petrochemical products by 15% to serve expanding demand after the pandemic, said the company.
Demand is predicted to return to levels observed before the pandemic. Additional output comes from the full operation of the oil refinery site of PTTGC, as well as plans to postpone plant closures for major maintenance. The firm also invested Baht 5.1 bn to increase the manufacturing capacity of the second unit of the olefin production site. The capacity growth is aligned line with the business strategic plan of PTTGC.
Operations at the new 250,000 tonnes/y polypropylene production unit are slated to begin in 4Q 2023. The project will raise polypropylene output to more than 1 M tonnes/y. Moreover, PTTGC is targeting to avoid fierce competition among petrochemical manufacturers by putting additional emphasis on the sales of high value-added polymers. Such products produce higher profit margins compared to that of commodity-grade petrochemical products. High value-added polymers are feedstocks for building materials, special textiles and automotive parts.
The firm intends to have high value-added polymers account for 56% of total sales by 2030, an increase from 36% in 2022, while the share of commodity-grade polymers will decline from 64% in 2022 to 44%. In 2023, PTTGC aims to assign capital expenditure of Baht 10 bn for the ongoing construction of a 75,000 tonnes/y polylactic acid (PLA) manufacturing site in Nakhon Sawan, Thailand. Its commercial operation is slated to begin in 2024. Moreover, the company intends to invest Baht 5 bn to support its carbon neutrality-related projects, including the usage of carbon-capture utilization and storage technology and reforestation, during 2022-2030.
As per MRC, Thai PTTGC
is planning a capital investment of USD608 million over five years, including two start-ups this year. PTTGC's joint venture with Austrian packaging and recycling company ALPLA, called ENVICCO Ltd, is expected to produce recycled polymers at Map Ta Phut in Rayong Province. The ENVICCO plant, which can produce 30,000 tons per year of recycled polyethylene terephthalate (R-PET) and 15,000 tons per year of recycled low-density polyethylene (R-HDPE), is expected to enter commercial operation in the first quarter of 2022.
PTT Global Chemical (PTTGC) was founded on October 19, 2011 after the merger of PTT Chemical Company and PTT Aromatics and Refining Company to become the flagship of the PTT chemical group. As a result of the integration, the company's total capacity for the production of olefins and aromatics reached 8.2 million tons per year, and oil products - 280 thousand barrels per day, which makes it the largest integrated petrochemical and oil refining company not only in Thailand, but also in Asia.
mrchub.com