JGSOC operates the first and only naphtha cracker plant in the Philippines. The naphtha cracker uses Lummus Technology and is designed to primarily produce polymer-grade ethylene and polymer-grade propylene, which are feedstock for the downstream polyethylene (PE) and polypropylene (PP) plants.
JGSOC ensures stability in the supply and price competitiveness of widely used PE and PP resins for the Philippine plastics industry through consistent supply of ethylene and propylene to the PE and PP polymerization facilities. As such, the local plastic product industries are better able to operate at higher rates, reduce their raw material cost, increase employment, and compete with imports.
The naphtha cracker’s two other products, pyrolysis gasoline and mixed C4, are converted to intermediate petrochemical products by two other extraction facilities. Aromatics such as benzene, toluene, mixed xylenes and mixed aromatics are extracted from pyrolysis gasoline in the Aromatics Extraction Unit, while butadiene and raffinate-1 are extracted from mixed C4 through the Butadiene Extraction Unit.
JGSOC’s integrated petrochemicals facility in Batangas City helps promote a positive investment image for the country. The ongoing expansion projects and new builds for the petrochemical facility is expected to further establish the Philippines as a country invested in sustaining the growth of its domestic manufacturing industries.
The Naphtha Cracker Plant was initially built to produce 320 Kilo Tons per Annum (KTA) of polymer-grade ethylene and 190 KTA of polymer-grade propylene.
After its expansion in 2021, the Naphtha Cracker Plant can now produce 480 KTA of polymer-grade ethylene, 240 KTA of polymer-grade propylene, 180 KTA of mixed C4 and 250 KTA of pyrolysis gasoline.
JGSOC is the largest manufacturer of polyolefins in the Philippines. It is the first and only integrated PE and PP resin manufacturer in the country. It produces HDPE, LLDPE, PP Homopolymer and PP Random Copolymer resins marketed under the EVALENE® brand using the world-renowned UNIPOL™ gas phase technology. In 2022, JGSOC will also start to manufacture PE resins using another world-leading technology, the MarTECH ™ loop slurry process.
By 2021, JGSOC’s production capacities shall be 320 KTA of polyethylene and 300 KTA of polypropylene using the UNIPOL™ Process, while an additional 250 kTA of polyethylene capacity will be added in 2022 using the MarTECH™ Process. With the expanded capacities, JGSOC is now able to expand its current PE and PP grade slate to introduce additional grades for higher-value applications.
Hence, with JGSOC’s increased capacities and broadened product portfolio, the local plastics downstream fabricators benefit through a steady and competitive supply of resins, the ability to operate at higher rates, reduction in raw material cost and increase in employment, thus effectively competing with imports.
JGSOC’s Aromatics Extraction Plant produces benzene, toluene, mixed xylenes and mixed aromatics. Rated production capacity of the unit is around 90 KTA of benzene, 50 KTA of toluene, 30 KTA of mixed xylenes and 20 KTA of mixed aromatics. It is the first Aromatics Extraction plant in the Philippines to use GT-BTX® technology licensed from Sulzer GTC.
With JGSOC’s Aromatics Extraction Plant, total locally-available benzene capacity now equates to a substantial amount of intermediate raw material, enough to generate interest in potential future investments downstream, which can promote potential forward linkages to other manufacturing sectors. Furthermore, JGSOC’s facility further increases domestic capacities for toluene and mixed xylenes, thus also promoting supply stability and robust competition. This will benefit key industry applications including paints and adhesives for construction, inks for packaging, as well as chemicals for households and agriculture. For mixed aromatics, the availability of additional capacity from JGSOC opens up opportunities to develop the materials as blending components for gasoline as octane booster.
Butadiene and Raffinate-1
JGSOC is likewise scheduled to commence operations by first quarter 2022 the first and only Butadiene Extraction Plant in the Philippines, which uses the BASF Process, also licensed from Lummus Technology. This facility processes mixed C4 produced from the upstream naphtha cracker to separate and extract the downstream products of butadiene and raffinate-1. JGSOC’s Butadiene Extraction Plant is able to produce 70 KTA of butadiene and 110 KTA of raffinate-1.
As the first and only Butadiene Extraction Plant in the Philippines, JGSPC’s facility helps establish the country as invested in sustaining the growth of the domestic manufacturing industries. The availability of butadiene locally is expected to generate interest in future investments downstream, particularly for synthetic rubber producers and/or tire manufacturers, thereby helping to open up potential forward linkages to this sector.
Compliance and Certifications
All EVALENE® polymer grades comply with FDA Philippines food-contact requirements for PE and PP resins, and are likewise Halal-certified.
JGSOC is proud of its Integrated Management System (IMS) which encompasses the Quality Management System under ISO 9001:2015, the Environmental Management System under ISO 14001:2015, and the Occupational Health and Safety Management System under ISO 45001:2018.
Peak Fuel Corporation
Peak Fuel Corporation (Peak Fuel) is the fuels trading arm of JG Summit Petrochemicals Group (JGSPG). It was incorporated in January 2020 and duly registered with the Securities and Exchange Commission. The company’s vision is to be the preferred supplier of liquefied petroleum gas (LPG) and other fuels in the Philippines. Its mission is to support local industries through reliable supply of essential fuels.
Peak Fuel is a subsidiary of JG Summit Olefins Corporation (JGSOC), which is wholly owned by JG Summit Holdings, Inc.