CUF COMMENCES OPERATION

 The Centralised Utilities facilities (CUFs) owned by Petronas Gas Bhd (PGB has successfully commenced its first delivery of utilities to customers at the two integrated petroleum complexes (IPCs), namely Kertih Integrated Petrochemical Complexes in Terengganu and Gebeng Integrated Petrochemical Complexes in Pahang.

 According to President of Petronas, Tan Sri Mohd Hassan Marican the CUF project was developed to support the integrated development of Malaysia's petrochemical industry by proving utilities such as  steam at various pressure level raging from 23 to 112 bar, electricity, industrial gases and water from a centralised facility to meet the needs of the IPCs. 

 "The integrated development approach will maximise benefits from inter-plant synergy, enhance operational efficiency, achieve economies of scale and reduce capital outlay for the petrochemical project," he said. 

 "The CUFs will also encourage foreign direct investment into the country by providing secure and reliable supply of utilities at competitive price to the upcoming new and existing Petrochemical ventures in the state of Pahang , Terengganu and Kelantan," said Tan Sri Hassan. The modular design of the CUFs also allows for flexibility in future expansion and ease of maintenance  without interrupting supply to customers. 

 He said with the additional revenue and a secured demand from customers within the IPCs,the CUFs are well on the way to transform  PGB into a significant utility player. The commencement of CUFs operation in stages since November 1999 marked a significant development to PGB as it translated into the generation of additional revenue stream to the company. 

 The CUF in Gebeng delivered its first power supply to Polyplastic Asia Pasifuc Sdn Bhd on 19 November 1999, followed by the delivery of nitrogen to BASF Petronas Chemicals Sdn Bhd on 14 February 2000. The propane Dehydrogenation project within the IPC was supplied with electricity on 17 February 2000, water for fire fighting purpose on 28 February and steam on 1 August, marking the latest utility delivery  to customers in Gebeng Industrial Estate.             

  In Kertih, consumers  such  as  Kertih  Terminals  Sdn  Bhd, Aromatics  Malaysia Sdn Bhd, Petronas Ammonia Sdn Bhd (PASB) and Vinyl Chloride Malaysia Sdn Bhd (VCMSB) received their first  electricity  supply  on 27 January 2000 from the Kertih  CUF. On 7 July, the CUF  supplied steam to  customers, including PASB, VCMSB and BP Petronas Acetyls Sdn Bhd. 

 The two CUFs- thr first  projects in the country-are expected to be fully completed by the end of this year. Apart from  the existing customers, the Kertih CUF is poised to supply utilities  to two new customers, namely the Optimal Group and the Low Density Polyethylene plant by the third quarter of this year and the first quarter of 2001 respectively.