Kuala Lumpur: Petronas has approved the final investment decision of $27bn for the development of the Pengerang Integrated Complex (PIC) which comprises a large scale refinery and petrochemical development and associated facilities.
"The FID is a critical stage gate in our decision making process. Petronas undertook a rigorous review of the project, including independent third party assessments to ensure it meets our criteria for long-term profitable and sustainable growth. This decision is in line with our commitment to capital discipline, and with the board's approval we look forward to progressing the development of the project as planned," said Petronas' president & group ceo Tan Sri Shamsul Azhar Abbas.
The PIC is scheduled to commence construction upon the full handover of the project site to Petronas by the state government and the project is expected to start operation by early 2019, nearly more than one year later than the company had planned.
“With our strategic location along one of the world's busiest shipping lanes and its proximity to international trading hub, the PIC is well positioned to be the next regional downstream oil and gas industrial hub,” Petronas said.