By JACOB GRONHOLT-PEDERSEN
Royal Dutch Shell said Thursday that it will upgrade its petrochemical plant in Singapore to meet rising demand for ethylene in Asia.
The upgrade will increase the plant's capacity to produce olefins and aromatics - industrial chemicals used to make plastic, paint and other products - by more than 20%, the company said. It didn't give financial details.
"The investment will generate additional volumes to help us meet growing demand from our customers in the region," said Ben van Beurden, executive vice president of Shell Chemicals.
The upgrade will take place during the next maintenance turnaround of the plant, Shell said in a statement.
The plant currently can produce 800,000 tpy of ethylene. It mainly uses naphtha as a feedstock.
Operations at the plant began in March 2010. It is located on Bukom Island and is a part of the Shell Eastern Petrochemicals Complex, the company's largest-ever petrochemical investment.
Shell's largest oil refinery, which has a capacity of 500,000 bpd, is also located on the island.
Dow Jones Newswires