Linde, Petronas Gas to build 150m Euro industrial air gas plant in Johor

KUALA LUMPUR:  Linde Malaysia Sdn Bhd and Petronas Gas Bhd are teaming up to build a  state-of-the-art industrial air gas plant in Pengerang, Johor and the investment is about 150mil Euros (RM690mil).

Linde Group said on Monday the plans would produce gaseous oxygen and nitrogen to supply the needs of Petronas' Refinery and Petrochemicals Integrated Complex (RAPID), within the Pengerang Integrated Petroleum Complex (PIPC).

It also said the JV company, Pengerang Gas Solution Sdn Bhd had also secured long-term agreements for the supply of oxygen and nitrogen to the world-scale refinery and petrochemical complex which includes an ethylene oxide/ethylene glycol plant. 

Pengerang Gas Solution will build two large air separation units and associated gas facilities costing 150mil Euros.

Linde AG's CEO Dr Wolfgang Buechele said: "Linde is a technology company with a successful integrated business model. We are in a unique position to offer a one-stop service to our customers covering both the delivery of turnkey petrochemical plants and enabling gas supplies. 

“This major on-site project enables us to leverage the technical and execution expertise of our engineering division and the operational know-how of our gases division in very close cooperation. It further strengthens our market position as the leading air gases supplier to the oil and gas and petrochemicals sector."

Linde's first JV with Petronas Gas, Industrial Gases Solutions Sdn Bhd, is an air gases trading company. Linde today also supplies gases to Petronas' subsidiaries in Malaysia , including to its Kerteh and Gebeng Petrochemical Complexes.

Linde's engineering division will design and construct the air separation units. It had also concluded the engineering, procurement, construction and commissioning (EPCC) contract with Pengerang Gas Solution.