Petronas Gas inks deals to expand nitrogen supply

Petronas Gas Bhd is expanding its industrial gas facility as it seeks to supply nitrogen to five subsidiaries to Petronas Chemicals Group Bhd.

KUALA LUMPUR: Petronas Gas Bhd is expanding its  industrial gas facility as it seeks to supply nitrogen to five subsidiaries of Petronas Chemicals Group Bhd.

It announced to Bursa Malaysia on Monday it had entered into five head of agreements to undertake the expansion and supply of the nitrogen.

“The project will provide additional nitrogen to serve new demand within Kertih and guaranteed back-up supply for the customers,” it said.

The project includes the construction of a new nitrogen plant, upgrade the existing factory, enhance the current back-up facility and to operate and maintain the nitrogen supply.

The project is expected to start in February 2021, it said, adding the financing of the the project would come from its own funds.

Both companies are part of Petroliam Nasional group.