Shell mulls expansion of plant at Bukom

Energy giant Royal Dutch Shell is planning to expand the capacity of its world-class ethylene cracker complex at Singapore’s Pulau Bukom by about 20%; this complex is the centerpiece of Shell’s US$3 billion Shell Eastern Petrochemical Complex. On the heels of energy demand shifting from west to east, Shell is determined to expand its presence in Asia. However, the company still has to make a final investment decision.
Mark Williams, a member of the company’s executive committee who oversees Shell’s downstream business, said, “Asia is expected to drive energy demand growth globally, owing to the region’s population and economic expansion.” Williams predicts that the volatility of energy prices will continue in the years ahead, because the pace of change of supply is slow relative to the speed at which demand grows or contracts. He added: “We see Asia as really leading in terms of the pace of energy demand growth globally. The developing economies, many of which are in Asia, are the engines of growth of energy demand globally. We clearly expect that trend to continue.” (October 3, 2012)