Heavy rains create water supply woes for Formosa Mailiao complex

13 June 2012 07:23  [Source: ICIS news]

SINGAPORE (ICIS)--Torrential rains pounding Taiwan threaten to cut off water supply to the Mailiao petrochemical complex of the Formosa group, a source from Formosa Chemical & Fibres Corp (FCFC) said on Wednesday.

“The Jiji Dam in Chang-Hua has been damaged as a result of the rains,” the source said.

The Jiji Dam on the Jhuoshuei River deviates water from the upper stretch of the river to the Formosa Group’s oil refineries at Mailiao in Yunlin County.

“We currently have four days worth of water inventory to maintain production,” the source said.

“We derive water from other sources as well to maintain our petrochemical production,” the source said, when asked if there were any immediate impact to operations because of damage to the dam.

In a note to customers, Formosa has mentioned that it was in negotiations with the Taiwanese government to secure water from other sources like the Ching-Shui river in case supply from Jiji Dam gets cut off.

Heavy rains hit northern Taiwan on Monday night, and have been continuing on in the central and southern parts of the island. Taiwan’s Central Weather Bureau has issued an “extremely heavy rains” advisory on Wednesday morning.

By: Bohan Loh
+65 6780 4359

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