Channel NewsAsia

Vopak, SK Gas to develop LPG facility on Jurong Island

Dutch company Vopak and South Korea's SK Gas will jointly develop a liquefied petroleum gas (LPG) import facility on Jurong Island, enhancing the competitiveness of Singapore's petrochemical industry by giving firms on the island an alternative feedstock to naphtha.

SINGAPORE: Dutch company Vopak and South Korea's SK Gas will jointly develop a liquefied petroleum gas (LPG) import facility on Jurong Island, enhancing the competitiveness of Singapore's petrochemical industry by giving firms on the island an alternative feedstock to naphtha.

The move was announced by Second Minister for Trade and Industry S Iswaran at the opening of Infineum International's new facility on Jurong Island on Wednesday.

The plant operated by Infineum -- a joint venture between ExxonMobil and Shell
-- will produce salicylate, which is used in lubricant additives.

Mr Iswaran said Singapore is keen to strengthen its position as a global energy and chemicals hub.

"One particular area of focus for our government agencies is to further develop Singapore's specialty chemicals sector," he said.

LPG is used for heating in many countries. It is also a raw material used by the petrochemicals industry.

According to the Economic Development Board (EDB), Singapore's position as a global chemicals hub has grown in tandem with the extensive development of Jurong Island.

The island has to-date attracted in excess of S$35 billion in investments from companies such as BASF, ExxonMobil, Lanxess, Mitsui Chemicals, Shell and Sumitomo Chemicals. 

Tweet Photos, Videos and Update on this Story to  #cna