NatOleo to become world's single largest fatty acid producer

26 October 2004 09:02  [Source: ICIS news]

SINGAPORE (CNI)--Malaysia's Natural Oleochemicals (NatOleo) will become the largest fatty acid producer at a single location in the world, industry sources told CNI on Tuesday.

NatOleo is building a third fatty acid plant at Pasir Gudung in the southern Malaysian state of Johor.

The new 210 000 tonne/year plant will add to the company's total capacity of 150 000 tonne/year at its two existing plants. The new plant, which will be located at the same site as the two existing plants, will come onstream in September 2005.

"NatOleo has already ordered the plant and equipment. Work on the new plant is already in progress," a source close to the company said.

The cost of the third plant is pegged around RM$150m ($39.5m/Euro32.1m), he said. "The new plant will be located in our complex at Pasir Gudung. The cost is low because the infrastructure is already in place," the official said. 

NatOleo has access to palm oil production from 46 plantation estates and 11 palm oil mills in Johor, which churns out 20% of Malaysia's annual output.

By: Edgar Ang
+65 6780 4359

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly