Kongkrapan Intarajang Dr Chief Executive Officer and President PTT Global Chemical Public Company Limited or PTTGC He revealed that the business direction in 2024 is full of uncertainty from global economic trends and many industries, but still expects to be able to create sales volume growth of 7%, an increase from the previous year. With a sales volume of 13 million tonnes, this is the result of no maintenance shutdowns. Along with the recovery of demand, the profit is higher.
Demand in 2024 is expected to increase from 2023 following a slight recovery in the petrochemical industry. The company is also improving internal efficiency and reducing costs, including adopting digital transformation. Let’s use it first. It will help reduce costs and increase profit margins. and focus on building strength from the base within Against the global economic situation which has not yet improved. China’s economy, which is the main driver, has put pressure on the company to slow down. This causes the company to be in a state of excess supply (Oversupply).
“The company has set an investment budget for 2024 of approximately 100-150 million US dollars (representing approximately 5.4 billion Thai baht, compared to the baht/dollar ratio of 36 baht on 16 February 2024) as it will be used for improving the company’s central business. and investment in subsidiaries such as the Nakhon Sawan Biocomplex Project (Collaboration between company GC International CorporationPTTGC Subsidiaries a Nature Works) It is expected to be completed in 2025, including various business expansions. and continue to join new partners to create business growth” Kongpan Dr say
Kongpan Dr He added that In terms of trends and operational plans for 2024, the company focuses on expanding the potential level of existing business groups to increase strength to deal with challenges in many areas. and increase operational flexibility in the “High value, low carbon Business” approach using a 3 stage strategy: Step Change, Step Out, and Step Forward which have been implemented in the right direction. and adapt to the changing landscape of the industry.
1) Step Change Improve efficiency and control costs In collaboration with strong partners Including focusing on market-oriented business growth (Market-Oriented Business) by increasing the share of high-value plastic and chemical pellet products. with a target of 56% in 2028 and innovative products
For the cooperation that the company has always intended and pushed for, such as cooperation with WHA in joint ventures in the logistics business. for possible development and the ability to compete in providing logistics services Leading to lower costs and creating Green Logistics as well as increasing profits for the company. and pushing for collaboration with Allnex Holding GmbH, a world leader in the Coating Resins product business, producing and selling coating products and additives for use with all types of materials, will help create growth in the chemicals business by using innovation and making company income Mainly available in Asia and China. It is expected that Thailand will be able to become the South East Asian Hub for Allnex.
2) Step out The company is looking for new opportunities for growth. We are constantly looking for new business partners and collaborations in non-core businesses and maintaining Allnex costs while expanding the market for bioplastic and sustainable products (Bio & Circularity) and focusing on recycled products. recycling including Bio-Refinery, products that can be used for many different products in many industries.
By looking for strategic partners and Non-Core Business, the company is still studying new businesses related to hydrogen and carbon. Use our strengths and expertise in the hydrocarbon business Make a difference and return business in the future. Aiming at the Net Zero goal that has been set. In the past, a cooperation agreement was signed to study the technology for the development of petrochemical plants between PTTGC and Mitsubishi Heavi industry Asia Pacific Co., Ltd. or MHI-AP There are 2 main aims: a study to compare the feasibility of using hydrogen and ammonia. It is a fuel for gas turbines and capture technology. Carbon dioxide storage (CCS) in the process of reducing carbon dioxide emissions from generators. and study and find ways to improve Increase efficiency in the capture system Store carbon dioxide appropriately for the hydrogen production process or Steam Methane Reforming (SMR).
3) Step Up Creating business sustainability The company is working on reducing glass and carbon dioxide emissions to reach the Net Zero goal in 2050, as well as maintaining ongoing leadership in the company’s portfolio. By increasing the efficiency of Operations (driven by efficiency) to reduce greenhouse gas emissions from the production process By applying technology that reduces energy consumption. and switching to renewable or low carbon energy.
Including long term business restructuring towards a low carbon business. (Based on portfolio) The company has invested in Allnex’s Performance Material business and ENVICCO’s high-quality recycled plastic pellet business, with lower greenhouse gas emissions than normal business operations (GHG Avoidance), totaling more than 630,000 tonnes of carbon dioxide equivalent. the year. and operations to store and offset carbon. (Based on compensation) with the application of various technologies. (Technology Based Solutions)
“It can be seen that the company is committed and intends to conduct business in a sustainable and environmentally friendly manner in line with past performance results. As a result, the company has become a leader in the international chemical business that stands number one in sustainability, and in 2024, the company will therefore expand on the concept. “Better for you. Better for the world” and inviting everyone to be “Sustainability Generation GEN S.. The new generation has a sustainable heart” creating a ripple effect in living the Net Zero Lifestyle, helping to save the world, supporting from upstream to downstream. Create more awareness and understanding of the world.” Kongpan Dr Concluding remarks
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