Strong Performance In 2022, PCG Expands Specialties Portfolio

· Achieved major growth milestones through the acquisition of Perstorp Group along with the expansion of BRB Group and FID for two new plants in Malaysia · 2023 will see the growth of Special Chemicals portfolio and continued drive to strengthen sustainability efforts

PETRONAS Chemicals Group Berhad (PCG) yesterday held its 25th annual general meeting (AGM) to present the Company’s performance to its shareholders for the financial year ended 31 December 2022. The AGM was chaired by PCG Chairman, Datuk Ir. (Dr.) Abdul Rahim Hashim, with all the Board members, PCG Managing Director/Chief Executive Officer, Ir. Mohd Yusri Mohamed Yusof and Chief Financial Officer, Mohd Azli Ishak, in attendance. In addition, Ir. Mohd Yusri shared the Company’s performance, growth plans, sustainability strategy and outlook for 2023.

Strong performance to deliver value to stakeholders
PCG recorded a commendable performance in 2022 against geopolitical conflicts, market volatilities and general industry challenges. The Company continued to demonstrate operational and commercial resilience, despite uncertainties in the energy and commodity markets resulting in a surge in crude oil and petrochemical prices, along with China’s persistent zero-COVID policy and higher cost of operations driven by increased energy and logistics costs. PCG recorded production volume of 10.4 million tonnes per annum (tpa), sales volume of 8.3 million tpa and continued its excellent track record on safety. PCG closed 2022 with a record revenue of RM29.0 billion and profit after tax of RM6.3 billion.

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“We are pleased to have delivered a solid performance despite numerous challenges. Guided by our Two-Pronged strategy to sustain our strength in basic petrochemicals and selectively diversifying into specialties, we look forward to capturing new revenue streams and strengthening our position in the region,” said Ir. Mohd Yusri.

Delivering growth
2022 was a significant year in terms of growth. PCG’s landmark acquisition of Sweden-based Perstorp Group resulted in further diversification of the Company’s product offerings, specifically for its specialty chemicals portfolio. The Company launched BRB Group’s new lube oil additives manufacturing facility in the Netherlands to serve as a global Lube Oil Additives and Chemicals hub for PCG. In addition, two projects achieved the status of Final Investment Decision (FID), namely the development of a melamine plant in Gurun, Kedah and the expansion of the 2-Ethylhexanoic Acid (2- EHA) plant in Gebeng, Pahang.

“The addition of Perstorp Group marks a major milestone, which will see over 130 new product offerings, seven manufacturing sites globally and more than 1,500 new members coming into the PCG family. PCG has also established a new Specialty Chemicals Division to manage and steer critical strategic priorities supporting PCG’s long-term aspirations within this space,” added Ir. Mohd Yusri.

Committed to advancing sustainability
PCG enhanced its commitment towards sustainability in 2022 and surpassed its short-term target to reduce its Scope 1 and Scope 2 GHG emissions by 100,000 tonne Carbon Dioxide equivalent (tCO2e) by 2024. Through various efforts such as process optimisation and catalyst upgrades, PCG has achieved a cumulative reduction of more than 108,000 tCO2e thus far. In addition, Perstorp’s strength in sustainable solutions will accelerate PCG’s value creation and the Company’s sustainability journey.

Commenting on PCG’s sustainability agenda, Ir. Mohd Yusri said, “After the establishment of PCG’s own NZCE 2025 Roadmap in 2021, we are proud to have built a strong momentum in the first year. We enhanced our Sustainability Agenda, which aims to address all topics that are material to our stakeholders. One of the key enhancements we made was adopting a more strategic approach towards advancing the Sustainability Agenda in the Company. This is proven through our ranking on Dow Jones Sustainability Indices (DJSI) where we maintained our top 10% position for the Chemicals industry, and the only Malaysian company in the DJSI World in 2022.

“PCG looks forward to another exciting year, while remaining cautious in view of the potential impacts of high inflation and other uncertainties. In 2023, we will continue to deliver operational and commercial excellence, advance our sustainability efforts and explore new growth opportunities. We are confident that our vision, strategy, and talents will enable us to navigate the uncertainties while continuing to create sustainable value for all our stakeholders,” concluded Ir. Mohd Yusri.

Digital versions of PCG’s 2022 Reports; Integrated Report, Sustainability Report and Financial Report are available on PCG’s website at