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Hengyuan Refining approves unit for Port Dickson refinery

Hengyuan Refining (HRC), a subsidiary of Shandong Hengyuan Petrochemical, has approved a $66.4 Mn investment to develop and build a hydrogen manufacturing unit as part of a hydrogen generation (H2Gen) project for production of cleaner fuels at its 156kbd (7.8Mnta) refining complex in Port Dickson, Negeri Sembilan, Malaysia.

Hydrogen from the new unit will be used to power the refinery’s hydrodesulphurisation Unit No. 2 as well as other extractive desulphurisation hydrotreating processes at the site to help meet Malaysia’s upcoming 10-ppmw Euro 5 gas oil sulphur specification, which takes effect on 1 September 2020.

HRC also is continuing work on a project designed to upgrade the Port Dickson refinery to produce Euro 4M-grade moto gasoline (mogas), which is targeted for completion during 1Q20.