KUALA LUMPUR: Petron Corp is spending US$100mil until next year to complete the upgrade of its refinery in Malaysia and allow it to produce Euro 5 diesel, the Philippines Star reported.
According to the news report, Petron embarked on the diesel hydrotreater (DHT) project at its Port Dickson refinery to meet the Malaysian government?s environmental standards.
Petron president and CEO Ramon Ang said: ?We initiated the DHT modification worth US$100mil to comply to the environmental rules of Malaysia,? he said.
According to the Philipine Star, this move would enable Petron to produce more environmentally friendly diesel products that comply with Euro 5 specifications.
?We will be able to complete the project next year, in time for the regulation,? Ang was reported saying.
The Philipine Star said in 2018, Petron completed the upgrade of its product terminals to comply with the B10 biodiesel and U97 E4M requirements in line with the Malaysian government?s thrust of providing cleaner and more environment-friendly fuels to consumers.
In Malaysia, Petron is currently the third top player next to Petronas and Shell Malaysia.
Petron made its foray into Malaysia in 2012 when it bought 65% in Esso Malaysia Bhd and the subsidiaries ExxonMobil Borneo Sdn Bhd and ExxonMobil Malaysia for US$610mil.
Through Petron Malaysia Refining and Marketing Bhd, it operates the Port Dickson refinery which produces 88,000 barrels of oil per day.
It also owns 11 terminals and storage facilities, and has over 650 stations as of end-March.
Petron had previously announced plans to double the capacity of its Port Dickson refinery by 2020.
Source: The Star