Bloomberg News

Shell Is Said to Plan Closure of Naphtha Cracker in Singapore

October 03, 2011

Oct. 3 (Bloomberg) -- Royal Dutch Shell Plc, whose largest refinery was halted by a fire last week, also plans to shut its naphtha cracker at Pulau Bukom in Singapore, according to a person with direct knowledge of the matter.

Shell plans to close the cracker, which turns naphtha and heavier hydrocarbons into petrochemicals, because refinery units feeding the plant were taken off line after the Sept. 28 fire, said the person, who declined to be identified because the information is confidential.

Shell has started a “progressive shutdown” of refinery operations at Pulau Bukom, Serene Loo, a spokeswoman for Shell in Singapore, said in an e-mailed response to queries. She declined further comment.

The naphtha cracker has an annual capacity of 800,000 metric tons of ethylene, 450,000 tons of propylene and 230,000 tons of benzene, according to the company’s website.

Shell has declared force majeure on monoethylene glycol shipments from the Pulau Bukom manufacturing site, ICIS reported, citing people it didn’t identify.

--Editors: Mike Anderson, Christian Schmollinger.

To contact the reporters on this story: Ann Koh in Singapore at akoh15@bloomberg.net;


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