SCG halts olefins unit following Hormuz disruption

Industrial conglomerate Siam Cement Group (SCG) is temporarily shuttering its olefins plant in Rayong, though it remains confident its other businesses will continue to operate as normal during the conflict in Iran.

- LAMONPHET APISITNIRAN

The operations of Rayong Olefins, a subsidiary of SCG Chemicals (SCGC), are being suspended under a declaration of force majeure, the company said in a statement.

“Other SCGC plants and SCG business units remain operational,” said Thammasak Sethaudom, president and chief executive of SCG, the parent firm of SCGC.

Business units such as Cement and Building Materials are accelerating the transition to alternative energy sources (non-oil-based) to reduce energy volatility and enhance competitiveness, he said.