Lotte sees no impact from DoE halt order on reactor

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KUALA LUMPUR: Lotte Chemical Titan Holding Bhd has clarified the stop-work order from the Department of Environment (DoE) imposed on its catalytic cracking reactor will not have any operational impact. 

“The stop-work order does not have any operational impact because the TE3 project has not commenced operations,” it said. 

In a filing with Bursa Malaysia on Wednesday, Lotte Chemcal said the commissioning and the commercial startup of the TE3 project remained on target by fourth quarter of 2017,.

It added that all its other plants were operating normally.

The group said the stop-work order on its KBR Catalytic Olefins Technology catalytic cracking reactor within its TE3 Project issued by the DoE took effect Oct 1, 2017. It remains in force until the DoE withdraws the halt order.

“The DoE requires us to remedy the odour emission and the surface oil sheen / film discharge. We expect the stop-work order to be lifted after requested remedial actions are carried out to the satisfaction of DoE,” it said. 

Lotte explained the stop-work order was due to odour emission and surface oil sheen/film discharge resulting from a culmination of the reaction of hot water from the TE3 Project poured into the waste water treatment plant containing pygas and pump failure at the waste water treatment plant.