Petronas Chemicals launches melamine plant project in Malaysia, projected to come on stream in 2024; site will have capacity of 60,000 tonnes/year

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GURUN, KEDAH, Malaysia , August 24, 2022 (press release) –

PETRONAS Chemicals Group Berhad (PCG) today launched its melamine plant project in the vicinity of its PETRONAS Chemicals Fertiliser Kedah Sdn Bhd (PC FK) complex here. The plant is targeted to come onstream in 2024 with a capacity of 60,000 tonnes per annum, making PCG the sole melamine producer in Southeast Asia.

The project launch was officiated by Kedah Chief Minister, Dato' Seri Haji Muhammad Sanusi Md Nor. Also present were PCG Managing Director/Chief Executive Officer, Ir. Mohd Yusri Mohamed Yusof and Senior Assistant District Officer of Land Management Division, Mohamad Shahuri Mohamad Norlin.

Speaking at the event, Dato' Seri Haji Muhammad Sanusi Md. Nor said, “I am very delighted that we can witness yet another PETRONAS project today, specifically PCG’s, in Kedah. PCG’s subsidiary, PCFK which has been operating since 1999 has played an important role in the state’s economic development. It is my hope that this melamine plant will further strengthen the area as a chemical producing zone with international standards in the Asia-Pacific region.”

Ir. Mohd Yusri elaborated : “This is an important project for PCG as it further strengthens our strategy of diversifying our product portfolio by adding value to the molecules from our existing products such as urea, methanol, polyolefins, and others. More importantly, being the only melamine producer in the region, we will be able to meet the Malaysian demand and serve the regional market, which is currently a net importer of melamine. In view of the robust demand in the emerging Southeast Asian markets, we are confident that this investment will further contribute to PCG’s growth”.

In building the melamine plant, PCG will utilise an industry proven technology from Switzerland which will enable the plant to operate with high efficiency especially in terms of energy consumption. The plant which uses urea produced from PCFK as feedstock, will enable PCG to offer high-quality products at more competitive prices as maximum integration with existing PCFK complex allows a minimum investment in utilities and other costs.

This project reflects PCG’s commitment to fulfil the increasing demand for high-quality products, particularly in the construction and household industries in line with population growth. Melamine possesses versatile characteristics such as fire retardancy, sound absorption as well as abrasion, stain, and moisture resistance properties, enabling it to penetrate various applications such as laminates, wood adhesives, moulding compounds, surface coatings, paper and textile treating applications.

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Dan Rivard
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