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Linde and Petronas to invest in new industrial air gas facility

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Hydrocarbon Engineering,

Linde Malaysia Sdn Bhd, a subsidiary of The Linde Group, has established a joint venture company with Petronas Gas Berhad (PGB) to build a state of the art industrial air gas facility that will produce gaseous oxygen and nitrogen to supply the needs of Petronas’ world scale refinery and petrochemicals integrated complex (RAPID), within the Pengerang integrated petroleum complex (PIPC) in southern Malaysia.

Linde and Petronas’ joint venture company, Pengerang Gas Solution Sdn Bhd (PGS), has also secured long term agreements for the supply of oxygen and nitrogen to the world scale refinery and petrochemical complex which includes an ethylene oxide/ethylene glycol plant. PGS will build two large air separation units and associated gas facilities resulting in a total investment of €150 million.

Dr Wolfgang Buechele, Chief Executive Officer of Linde AG, said, “Linde is a technology company with a successful integrated business model. We are in a unique position to offer a one-stop service to our customers covering both the delivery of turnkey petrochemical plants and enabling gas supplies. This major onsite project enables us to leverage the technical and execution expertise of our Engineering Division and the operational know-how of our Gases Division in very close cooperation. It further strengthens our market position as the leading air gases supplier to the oil and gas and petrochemicals sector.”

Sanjiv Lamba, Chief Operating Officer for Asia Pacific and Member of the Executive Board of Linde AG, said, “Asia is a key growth market for The Linde Group and we are the market leader with over 50 years as the leading industrial air and medical gases supplier in Malaysia. This is Linde’s second joint venture with Petronas Gas Berhad and it underscores our long standing and successful partnership. We are proud to continue to create value for our customers through our world class technologies and innovative solutions.”

Linde’s first joint venture with PGB, Industrial Gases Solutions Sdn Bhd, is an air gases trading company. Linde also supplies gases to Petronas’ subsidiaries in Malaysia, including to its Kerteh and Gebeng Petrochemical Complexes.

Linde’s Engineering Division, which will design and construct PGS’ air separation units (ASUs), also concluded the engineering, procurement, construction and commissioning (EPCC) contract with PGS. Linde’s world leading technology in air separation design offers high energy efficiency and operational reliability. The ASUs will be operated by Linde Malaysia and are expected to start operations in 2018.

Adapted from press release by Rosalie Starling

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