CHAPTER 4 Project Options ENVIRONMENTAL IMPACT ASSESSMENT FOR EXPANSION OF ACRYLICS COMPLEX ON B200 AND A200 BLOCKFIELDS AT THE EXISTING INTEGRATED CHEMICAL SITE (ICS) OF BASF PETRONAS CHEMICALS SDN BHD, GEBENG, KUANTAN, PAHANG CHAPTER 4 – PROJECT OPTIONS Chapter 4 PROJECT OPTIONS 4.1 Introduction This chapter describes the Project options, covering project siting, technology options and the “No Project” option. 4.2 Project Siting In order to ensure sustainability of the Project with the surrounding environment, it is important that the site is properly selected. The Project is located within B200 and A200 block fields at the existing ICS on Plot 139 within Phase III of Gebeng Industrial Estate. Gebeng Industrial Estate is designated for heavy industries and largely for petrochemical and chemical industries. The planned Project will closely integrate with the existing and future BPC facilities to achieve higher efficiency via integrated development concept through: . Availability of feed stream with the required amount and quality; . Sharing of common utility, infrastructure, service and support facilities and export facilities; and . Optimal use of shared maintenance and logistics. There are no sensitive residential areas within the immediate vicinity of the site. The nearest residential area from the Project site is Balok Perdana, which is located about 2.7 km southeast and the Institut Latihan Perindustrian (ILP) Kuantan, which is located about 1.9 km southeast from the site. No significant land use impacts or development constraints are expected in the surrounding area as a result of the Project implementation. A summary on the compliance of project siting is tabulated in Table 4.2.1. Chemsain Konsultant Sdn Bhd Page | C4-1 Revision No. : 0 CK/EV703/7027/17 Revision Date : April 2019 ENVIRONMENTAL IMPACT ASSESSMENT FOR EXPANSION OF ACRYLICS COMPLEX ON B200 AND A200 BLOCKFIELDS AT THE EXISTING INTEGRATED CHEMICAL SITE (ICS) OF BASF PETRONAS CHEMICALS SDN BHD, GEBENG, KUANTAN, PAHANG CHAPTER 4 – PROJECT OPTIONS Table 4.2.1: Project Siting Criteria Siting Criteria Compliance Within designated and approved industrial The Project site is located within Phase III of the site designated Gebeng Industrial Estate. Gebeng Industrial Estate is in its fourth expansion phase and has been designated by the Pahang Government for the development of heavy/petrochemical/chemical type of industries with due consideration already given to industrial siting, zoning and buffer criteria. Compatibility with surrounding land use The Project complements with the other existing plants within the BPC ICS, for example n-Butanol as one of the raw materials required for this Project will be supplied from the BDO Complex. Surrounding land uses are mostly occupied by chemical and/or petrochemical industries. The existing industries within the GIE are petrochemicals, wood-based, plastics, chemicals, concrete and engineering. Some of the nearby industries are RP Chemicals (M) Sdn Bhd (purified terephthalic acid), Kaneka (Malaysia) Sdn Bhd (functional plastics), PETRONAS Chemicals MTBE Sdn Bhd (polypropylene, propane dehydrogenation and MTBE), Eastman Chemical (M) Sdn Bhd (co- polyester plastic) and Flexsys Chemicals (M) Sdn Bhd (rubber chemical). Refer to Chapter 6 for detailed land use information. Adequate primary buffer An industrial training institute, ILP Kuantan, is located within the Gebeng Industrial Estate Phase I area, approximately 1.9 km southeast of the Project site. The ILP provides technical training for industrial operators. The nearest residential area is Balok Perdana about 2.7 km to the southeast. This housing comprises about 435 houses in Phase I area and 350 houses in Phase II area. Avoid areas where there is strong likelihood There are no environmentally sensitive areas located to impact on environmentally sensitive downstream of the Project site or in adjacent areas. areas located downstream or in adjacent areas Area is served with good road infrastructure Accessibility to the Gebeng Industrial Estate and Project site is via the Gebeng bypass, which links Kuala Lumpur and Kuantan directly via the East Coast Highway. This route provides cost effective and convenient means of transportation enabling more efficient transfer of freight and raw materials locally as well as for international channels. It also avoids directly passing through residential areas or schools. Adequate and appropriate utility supplies Gebeng Industrial Estate receives power supplies and proper waste management services from Tenaga Nasional Berhad (TNB) and the and facilities, and proper drainage for storm Petronas Centralised Utility Facilities (CUF). The water conveyance Project site will be supplied by the CUF. Chemsain Konsultant Sdn Bhd Page | C4-2 Revision No. : 0 CK/EV703/7027/17 Revision Date : April 2019 ENVIRONMENTAL IMPACT ASSESSMENT FOR EXPANSION OF ACRYLICS COMPLEX ON B200 AND A200 BLOCKFIELDS AT THE EXISTING INTEGRATED CHEMICAL SITE (ICS) OF BASF PETRONAS CHEMICALS SDN BHD, GEBENG, KUANTAN, PAHANG CHAPTER 4 – PROJECT OPTIONS Siting Criteria Compliance The potable water in Gebeng Industrial Estate is supplied from the Semambu Water Treatment Plant. The current capacity of water supply is 32 MG/D. The Government of Pahang is committed in ensuring an efficient water supply in Gebeng. Natural gas suppliers for Gebeng Industrial Estate are Gas Malaysia and PETRONAS Gas Berhad. They supply industrial gases within the estate to cater for the overwhelming demand from existing and future petrochemical projects in the area. The main telecommunication supplier in Gebeng Industrial Estate is Telekom Malaysia. They provide state-of-the-art facilities and services such as Integrated Systems Digital Network (ISDN), digital line, MAYPAC, Internet and video conferencing. The Pahang Fire and Rescue Department is located near Gebeng in order to handle any emergencies. In addition, located within the vicinity of Gebeng is PETRONAS Centralised Emergency Facilities. Both stations are equipped with HAZMAT (hazardous material) facilities. Another services provided is the Gebeng Emergency Mutual Aid (GEMA), a voluntary crisis management organisation, set up from an alliance between Government agencies and private manufacturers in Gebeng. Local municipal waste disposal services are provided by the local authority, Majlis Perbandaran Kuantan (MPK), and scheduled waste disposal are provided by Kualiti Alam Sdn Bhd, which is DOE-approved Integrated Waste Treatment and Disposal Management Facility. Kualiti Alam’s facility is in Negeri Sembilan and it has logistic services to support industries throughout Peninsular Malaysia. The Gebeng Industrial Estate and its associated industrial facilities are effectively isolated from the natural drainage system by a purpose designed drainage system comprising a network of storm water drain channels. These drainage system discharges into both Sg. Tunggak and Sg. Balok. Storm water runoff and treated effluent from the Project site will be discharged into Sg. Balok only. Chemsain Konsultant Sdn Bhd Page | C4-3 Revision No. : 0 CK/EV703/7027/17 Revision Date : April 2019 ENVIRONMENTAL IMPACT ASSESSMENT FOR EXPANSION OF ACRYLICS COMPLEX ON B200 AND A200 BLOCKFIELDS AT THE EXISTING INTEGRATED CHEMICAL SITE (ICS) OF BASF PETRONAS CHEMICALS SDN BHD, GEBENG, KUANTAN, PAHANG CHAPTER 4 – PROJECT OPTIONS 4.3 Technology Options Comparison between the improved technology for both CAA and BA and the existing technology available at the Acrylic Complex are provided in Table 4.3.1. Table 4.3.1: Comparison between Improved Technology and Existing Technology Improved process technology - CAA Existing process technology - CAA The expansion of the CAA plant will include an The existing extraction unit consists of a mixing additional Acrylic Acid extraction and a Di- kettle and a separation drum, and has several Acrylic Acid back-cracking unit. functions. One is the removal of high boiling acids The DMP acid water extraction will recover such as phthalic acid, maleic acid and benzoic acid Acrylic Acid from the acid water leaving the from the recycle solvent. Another function is to Separator Drum, by extracting it with DMP extract small amounts of acrylic acid from the acid solvent and stripping off the Acrylic Acid. Di- water into the solvent. Also recovered in the Acrylic Acid is also extracted from the acid extraction unit a small amount of solvent, which is water and is back cracked to Acrylic Acid and in the acid water feed to the system. then stripped. The recovered Acrylic Acid then routed back into the process. Disadvantages: Advantages: . Efficiency of existing extraction unit very much . The DMP Acid water extraction and Di-Acrylic depend on the correct ratio between acid water Acid back-cracking units will reduce the feed and solvent feed and density measurement. amount of Acrylic Acid in the process water The recovered acrylic acid is less. significant. Over a period of time, emulsion layer build up in . The overall process yield will be increased, the settler drum cause unreliable density and the specific Propylene consumption will measurement, at this point this extraction unit be reduced. has to shut down for cleaning, the on stream . In addition, the organic load in the process hours reduced thus recovery volume is less. water to the boiler is reduced. Improved process technology - BA Existing process technology - BA The azeotropic process for new BA plant will be The existing BA plant process operation steps modified in such way, that the