Shell to Expand GTL Wax Plant

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Shell in Malaysia has invested in a wax plant expansion project at its gas-to-liquids plant in Bintulu. Malaysian media reports have estimated the investment at 319 million Malaysia Ringgits (U.S. $90 million).

The wax plant expansion project is a key development project for Shell MDS as it will enable us to double our current wax output, said Dick Benschop, managing director of Shell MDS (Malaysia) Sdn Bhd, in a Sept. 2 statement. There is a growing market for this unique product. We will strengthen our position as a leading producer of high- quality waxes.

Benschop noted that the majority of the contracts and jobs involved in the expansion project will go to local Malaysian companies. The project will involve about 30 Malaysian companies and a total of 500 Malaysians acting as design consultants, vendors, material suppliers and construction contractors in the project team.

Shell MDSs GTL waxes – produced by vacuum distillation of the plants HPS catalyst streams – are premium synthetic products with high linearity and narrow carbon number distribution. The waxes are used in a wide range of industrial applications, including PVC lubricants, hot-melt adhesives, printing inks, packaging, fiberboard, plastic processing, candles and coatings. The company said the GTL waxes also have an opaque white appearance and are virtually odorless, making them ideal for use in applications requiring the addition of color or fragrances.

Sold under the Shell Sarawax brand, the waxes range in grades from SX-50 to SX-105. According to Shells web site, the wax grades are produced as slabs or granules which are transported in containers, or as liquid shipped in bulk at elevated temperature.

Kuala Lumpur-based Shell MDS, an operating company of Royal Dutch/Shell Group, owns and operates the middle distillate synthesis complex in Kidurong Industrial Area.

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