HENGYUAN SHUTS DOWN CRACKING UNIT ON CO BOILER LEAKAGE, PRODUCTION TO BE AFFECTED 

KUALA LUMPUR, June 20 (Bernama) -- Hengyuan Refining Company Bhd has shut down its long residue catalytic cracking unit (LRCCU) for inspection and repair following a leakage found at the carbon monoxide boiler (CO Boiler) yesterday.

The petroleum products refining and manufacturing group said following the shut down of the LRCCU, it is required to shut down the hydrogen manufacturing unit (HMU) and the Euro4Mogas facility (E4M) for inspection as part of regulatory requirements, while the refinery plant is operating as usual.

"The refinery production will be affected during the shutdown period as a result of the above incident, meaning that the revenue earned by the company during the shutdown period will be reduced.

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"Consequently, the company will put in place mitigating measures to ensure there will be no major disruption of production supply to its customers during the shutdown period," it said in a filing with Bursa Malaysia today.

Hengyuan said it is proactively taking the necessary measures to ensure the LRCCU’s operation returns to optimum levels on a phased basis in the coming weeks. 

“In the meantime, the inspection activities, originally scheduled for E4M and HMU in the fourth quarter of the year, will be executed during the period of shutdown.

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“These activities are intended to negate the requirement for the further planned outages in 2024 for E4M and HMU,” it said.

Hengyuan said given the current uncertainties, the financial impact of this incident cannot be reliably estimated at this point, but is expected to be material for the company. 

Further updates will be made from time to time when there are material developments, it added.

-- BERNAMA