Shell Singapore to shut Bukom cracker soon - traders

05 October 2011 05:29  [Source: ICIS news]

Shell Singapore to shut Bukom cracker soon - tradersSINGAPORE (ICIS)--Shell is expected to shut its 800,000 tonne/year mixed-feed cracker at Bukom Island in Singapore as soon as at the end of this week, when its inventory of feedstocks runs out, traders said on Wednesday.

The company's 500,000 bbl/day Bukom refinery, which provides naphtha feedstock to the cracker, was forced shut last week by a blaze that took 30 hours to completely extinguish.

"It might be possible the cracker will sooner or later be down," said a trader.

The cracker is currently running at low operating rates, according to market sources.

Shell produces an estimated 250,000 tonnes of naphtha per month from the Bukom refinery. A fifth of the naphtha output is supplied to feed into the Bukom cracker, while Petrochemical Corp of Singapore gets 100,000 tonnes, said a market source.

The company uses up 50,000 tonne/month of its naphtha output at Bukom for internal gasoline blending and another 50,000 tonnes for its own system, the source said.

Additional reporting by Felicia Loo, Peh Soo Hwee and James Dennis

By: Bohan Loh
+65 6780 4359

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